Research On Company Irregularities And Minority Investor Protection

The protection of investors' interests is of great significance to the long-term stable development of the securities market,and a large number of experts and scholars have studied investor protection.In our country,the number of minority shareholders constitute an important part of the securities market.Due to the market value held by the minority shareholders is relatively small,they do not have enough professional knowledge,the access to information channel is not smooth,so minority shareholders in the capital market is often in a weak position.Their legitimate rights and interests is encroached,empty controlling shareholders take advantage of the equity of listed companies,encroach on the interests of minority shareholders.These phenomenons often occur.Listed companies' ongoing violations not only caused great damage to the immediate interests of the minority shareholders,but also seriously disorder the development of capital market order,and have a bad influence to the stability of nation's economic.Controlling the occurrence of illegal behaviors of listed companies and improving the level of protection investors,especially minority shareholders,has a profound impact on the stable development of the securities market.In this paper,the relevant literature of the domestic and foreign company irregularities,large shareholders of tunneling behavior,minority shareholders protection is reviewed and summarized,combined with the principal-agent theory,control theory,information asymmetry theory,stakeholder theory,as theoretical basis,choosed A-share motherboard non-financial data of listed companies of Shanghai and Shenzhen from 2011 to 2016 as samples,cash dividends,associated guarantees,capital takes up as three indicators built small and medium investors' protection system,used the entropy value method for setting the objective weights,through empirical study analyzed respectively the influence of irregularities of listed companies on cash dividend,associated guarantees,capital takes up,the minority shareholders protection index.The study found that the larger the probability of the violation of the listed company had,the less cash dividends were allocated,the greater the amount of capital occupied by the listed company had,and the lower the protection level of minority shareholders had.The relationship between the probability of violation of the listed company and the degree of association guarantee is not significant.The divided analysis of 1575 listed companies in our country minority shareholders interests protection situation in2016,found that health and social work of the minority shareholders are least protected,electricity,heat,gas and water production and supply industry of minority shareholders have the highest degree.Further,based on the time that thenational policy's release as a limit at the end of 2013,2011-2016,six years of sample datas are divided into two groups,studied the influence of national policy for minority shareholders protection level.The analysis found that the implementation of national policies plays an obvious role in promoting the protection for minority shareholders.In view of the empirical analysis results,respectively from the aspects of laws and regulations,corporate governance structure,information disclosure and regulation,investor protection is put forward to improve the countermeasures of protecting minority investors' benefit.