The Research On Related Party Transaction Fraud Of Listed Companies

In recent years,with the improvement of China's science and technology,especially since the implementation of the 13 th five-year plan,emerging technologies in industries have been changing with each passing day,pushing forward the productivity and promoting the vigorous development of the national economy.At the same time,the capital market also ushered in unprecedented prosperity.The rapid development of the market puts forward higher requirements for its standardization.However,due to the imperfect development of the domestic market and some deficiencies,some companies and their managers blindly pursue their own interests,ignore laws and regulations,and gain illegal income through financial fraud and other means.These behaviors not only disrupt the stable market order and undermine the fair and just market principles,but also affect the stable,healthy and sustainable development of China's market economy,which should be strictly prohibited.The financial fraud of listed companies has always been a hot topic for scholars.Under the new situation,the capital market regulation is facing many challenges,as the market is more active,the type of financial fraud is becoming more diverse,more hidden whereabouts,this needs the financial practitioners to pay more and more attention to the market regulation,joint efforts,the early detection,prevention,so as to effectively prevent the occurrence of financial fraud.In this paper,the "Shenzhen Protruly Electronics" case act as the entry point,the “related transaction fraud” are deeply analyzed,and based on this,the corresponding prevention suggestions are put forward.In the first part of this paper,the author introduced the research background of this paper,along with the current status of the capital market,this part illustrate the author's work on the practical value.Then,starting from the concept of "related party transaction",the author elaborates on the theoretical concept of "related party transaction" by summarizing and analyzing the existing literature,which provides a solid foundation for thesubsequent analysis.After that,this paper makes statistics and analysis on the cases of “related party transaction” fraud in China's capital market in recent years,and summarizes the common means of fraud,the motivation and purpose of violation of rules in such cases.Among them,the case of "Shenzhen Protruly Electronics" selected in this paper is a typical case of “related party transaction”fraud due to its extremely bad violation circumstances,diversified fraud practices and serious consequences.Therefore,the paper then made a specific introduction of the case,starting from the means of committing the crime,the motive of committing the crime and the serious harm caused by the case,and elaborated in depth to fully show the details of the whole case.Finally,for the prevention of“related party transactions”,the author summarizes the case of "Shenzhen Protruly Electronics",and gives his own countermeasures and suggestions for such fraudulent behaviors from the two aspects of internal control and external supervision.Due to the limited research time and research ability of the author,there are still many deficiencies in the work,which need to be improved through continuous learning and practice,so as to make a small contribution to the standardization of the capital market.