On Hypothec Of Asset Management Corporation

There are four Asset Management Corporations which had been built since 1999 in our country. They are the specialized institutions dealing with the bad assets of bank's. There are certain degree parts of the loans which were assured at the time of being provided among the bad assets ,which are bought by the Asset Management Corporation s from the state-owned commercial banks. The security for a loan is thought highly by Asset Management Corporation in the all kinds of assurance ways. It is the base to set the price of some certain asset that the degree of effective execution of hypothec, and it is the very important factor to complete the goal that was drafted by the Minstry of finance for the Asset Management Corporation. In reality, Asset Management Corporation is seldom able to execute hypothec completely and sufficiently, due to several reasons. There are four chapters to analyze the present situation and reasons in this essay ,upon which there are some suggestions about how to protect the hypothec of the assent manageThe second chapter is main about the defective of legislation about hypothecation system. It is exists that the lack of unification between the laws before and after the The Secured Law were issued; and of the rules about the security of the land which are permitted to use by the country without any paid, and of the rules of mortgage management about real estate. The lake of the law responsibility of institution for registering mortgage is also important defective.The obstacles during the procedure of Asset Management Corporation exercising hypothecation are discussed in the third chapter and will analyze thereasons. In the bankruptcy of enterprises, hypothecation of Asset Management Corporation can't be enforced effectively ,the worth of security can't be embodied truly and the law is substituted by the policy. In the normal case, even if the hypothecation is confirmed, there are many factors which make Asset Management Corporation seldom able to execute hypothec completely and sufficiently, such as lake of operating in coordination between the courts; the security being rented by the enterprise before the Asset Management Corporation exercises the hypothecation; and the difficulty to resolve the social problem.The reasons behind this are multifold, and mainly related to the incompletion of the reform of state-owned corporations, the lack of unification of legislation, the deficiency of law executionIn order to protect the hypothec of the asset management corporation, it is necessary to further advance the reform of state-owned corporations, strengthen laws and regulations, protect social credibility, and entitle the asset management corporation with special law status. At the same time, the asset management corporation needs to fully exercise their expertise dealing with bad assets, launch initiatives, and reinforce the protection of hypothec.