Study On Problems Of The Enforcement Of Securities Whistleblower Scheme

Whistleblowing in Securities is an important source of clues for the inspection and enforcement of China Securities Regulatory Commission(CSRC),in order to make whistleblowing more reliable to enforce,it must be institutionalized and formalized.Although Securities Law of the People's Republic of China(revised in 2019)has clearly established securities whistleblower scheme,there are still many problems in the enforcement of this scheme in China.So far,studies on Securities Whistleblower Scheme are mainly based on comparative studies,and there is a lack of targeted responses to the enforcement problems of the scheme.This article focus on the problems of the enforcement of Securities Whistleblower Scheme,and takes the research method of Law and Society as methodology of the full text,combine with empirical research,comparative research,and document research to summarize and analyze a large number of administrative and judicial enforcement data of the securities whistleblower scheme,striving to discover problems,analyze problems and solve problems on the basis of localized narrative.In addition to the abstract,introduction and conclusion,this article is divided into three chapters:The first chapter discovers the problems in the enforcement of the Securities Whistleblower Scheme by means of empirical research.In order to clarify the criteria for problem discovery,the chapter first clarified the access criteria of Whistleblower Scheme enforcement by combine the identities of the Scheme and the general access criteria of law.On thisbasis,using the data of administrative and judicial enforcement,problems that the current Securities Whistleblower Scheme are pointed out: low contribution to securities law enforcement,poor disclosure of the scheme,insufficient application of reward rules,poor targeting of the intended incentives,abuses in whistleblower scheme and weak relief of the scheme.The second chapter explores the deep-seated causes of the problems that arise and are implemented in the Securities Whistleblower Scheme through the analysis of the internal and external causes of its enforcement.In terms of internal causes,the function and orientation of the Securities Whistleblower Scheme does not reflect the particularity of the scheme,and the design of the Securities Whistleblower Scheme rules does not conform to the(potential)whistleblower's action logic.In terms of external causes,social historical factors represented by the Petition System have an all-round negative impact on the enforcement of the securities whistleblower scheme.The above factors work together to hinder the effective enforcement of the Securities Whistleblower Scheme.The third chapter provides targeted responses to the problems and deep-seated reasons in the enforcement of the Securities Whistleblower Scheme,and on the basis of its feasibility,puts forward three suggestions for improvement.First of all,the function and orientation of the securities whistleblower scheme should be adjusted,which can only be aimed at improving the ability of the CSRC to inspect and enforce the law,and specializes in the coordination of specific difficult cases.Secondly,the design of the rules for the securities whistleblower scheme should be improved,including increasing the amount of rewards,establishing an independent fund,increasing the anti-retaliation relief,refining the transparency rules,and strengthening judicial supervision of the securities whistleblower scheme,etc.Finally,the securities whistleblower scheme must also actively respond to its abuses,but it is not appropriate to use punitive measures to restrict potential whistleblowers from abusing the scheme.Instead,it should reduce the abuses of the securities whistleblower scheme by providing multiple relief paths to the victims of securities investment,and improve the efficiency of the CSRC by strengthening the information screening and distribution mechanism toreduce the damage of abuses to the securities whistleblower scheme.