{"title":"中国关联交易司法执法与公共执法的有效性","authors":"James Si Zeng","doi":"10.1080/14735970.2022.2107075","DOIUrl":null,"url":null,"abstract":"ABSTRACT This article examines how China, a developing country with relatively weak judicial capacity, regulates related-party transactions (RPTs). Although Chinese courts can block unfair RPTs that involve non-financial assets, they generally lack the capacity to evaluate the fairness of RPTs involving financial assets. In recent years, China has developed new regulatory strategies, including shareholder litigation brought by the Chinese Securities Investor Service Center, ex ante approval and ex post administrative sanctions by the Chinese Securities Regulatory Commission, and letters of concern issued by the stock exchanges. While the public regulators have strong expertise in reviewing RPTs, empirical evidence shows that these regulatory measures have not been frequently implemented, suggesting that their effects are likely limited due to the lack of public resources and information. Adopting regulatory strategies that enhance the capacity of regulators and improvement of internal governance mechanisms are thus necessary.","PeriodicalId":44517,"journal":{"name":"Journal of Corporate Law Studies","volume":"22 1","pages":"505 - 534"},"PeriodicalIF":1.2000,"publicationDate":"2022-01-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":"{\"title\":\"The effectiveness of judicial and public enforcement of regulation on related-party transaction in China\",\"authors\":\"James Si Zeng\",\"doi\":\"10.1080/14735970.2022.2107075\",\"DOIUrl\":null,\"url\":null,\"abstract\":\"ABSTRACT This article examines how China, a developing country with relatively weak judicial capacity, regulates related-party transactions (RPTs). Although Chinese courts can block unfair RPTs that involve non-financial assets, they generally lack the capacity to evaluate the fairness of RPTs involving financial assets. In recent years, China has developed new regulatory strategies, including shareholder litigation brought by the Chinese Securities Investor Service Center, ex ante approval and ex post administrative sanctions by the Chinese Securities Regulatory Commission, and letters of concern issued by the stock exchanges. While the public regulators have strong expertise in reviewing RPTs, empirical evidence shows that these regulatory measures have not been frequently implemented, suggesting that their effects are likely limited due to the lack of public resources and information. Adopting regulatory strategies that enhance the capacity of regulators and improvement of internal governance mechanisms are thus necessary.\",\"PeriodicalId\":44517,\"journal\":{\"name\":\"Journal of Corporate Law Studies\",\"volume\":\"22 1\",\"pages\":\"505 - 534\"},\"PeriodicalIF\":1.2000,\"publicationDate\":\"2022-01-02\",\"publicationTypes\":\"Journal Article\",\"fieldsOfStudy\":null,\"isOpenAccess\":false,\"openAccessPdf\":\"\",\"citationCount\":\"0\",\"resultStr\":null,\"platform\":\"Semanticscholar\",\"paperid\":null,\"PeriodicalName\":\"Journal of Corporate Law Studies\",\"FirstCategoryId\":\"96\",\"ListUrlMain\":\"https://doi.org/10.1080/14735970.2022.2107075\",\"RegionNum\":4,\"RegionCategory\":\"社会学\",\"ArticlePicture\":[],\"TitleCN\":null,\"AbstractTextCN\":null,\"PMCID\":null,\"EPubDate\":\"\",\"PubModel\":\"\",\"JCR\":\"Q1\",\"JCRName\":\"LAW\",\"Score\":null,\"Total\":0}","platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Corporate Law Studies","FirstCategoryId":"96","ListUrlMain":"https://doi.org/10.1080/14735970.2022.2107075","RegionNum":4,"RegionCategory":"社会学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"LAW","Score":null,"Total":0}
The effectiveness of judicial and public enforcement of regulation on related-party transaction in China
ABSTRACT This article examines how China, a developing country with relatively weak judicial capacity, regulates related-party transactions (RPTs). Although Chinese courts can block unfair RPTs that involve non-financial assets, they generally lack the capacity to evaluate the fairness of RPTs involving financial assets. In recent years, China has developed new regulatory strategies, including shareholder litigation brought by the Chinese Securities Investor Service Center, ex ante approval and ex post administrative sanctions by the Chinese Securities Regulatory Commission, and letters of concern issued by the stock exchanges. While the public regulators have strong expertise in reviewing RPTs, empirical evidence shows that these regulatory measures have not been frequently implemented, suggesting that their effects are likely limited due to the lack of public resources and information. Adopting regulatory strategies that enhance the capacity of regulators and improvement of internal governance mechanisms are thus necessary.