On the Enhanced Obligations of the Financial Holding Company in Chinese Law

Nankai University (Philosophy and Social Sciences) 6:121-127 (2008)
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Abstract

Financial holding company has become a test of China's financial industry, the basic path and mixed in the past few years has gained rapid development, the development of financial holding company law has become a trend. Increased responsibility on the financial holding company to build the system, should follow the principle of certainty, the principle of flexibility, minimum cost principle and the principle of fairness and justice, and holds that the "three joint meeting" on the basis of the Coordination Committee set up financial regulation as a financial holding company regulatory body to determine the main rule-based regulation to the Commission. And, the future should increase the Financial Holding Company Act apply where the liability regime applicable to the relative extent of the administrative relief measures and other issues not clearly stated. Financial holding company has become the basic way to the trial of combined banking in China and experienced great expand in the past several years, to make a new law on financial holding company is the trend of the times. This paper argues about the provisions on the enhanced obligations of the financial holding company in the law. We believe that definitiveness, flexibility, minimum costs, fair and justice are the four principles the law ought to follow, and a new supervisory agency, the coordinate committee on financial regulation should be formed to replace the joint conference of the three financial regulatory agencies. The law should issue fixed rules and procedures not only for the committee to carries out in its regulatory activities, but also for the situations to apply the law, the level of liability of the financial holding company and the remedies offered to the administrative counter-person

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