On Internal Control Information Disclosure Of Chinese Listed Companies

With the acceleration of economic globalization, market competition grows sharply, particularly since 2008 when the global financial crisis has taken place, which brings the listed companies a variety of risks. Lehman Brothers and Bear Stearns subprime investment of huge losses and bankruptcy, Fannie Mae and Freddie Mac--two mortgage giants are taken over by the U.S. government, China's CITIC Pacific Investment huge loss on derivative financial products, such events fight against the confidence of investors, but also exposed the lack of internal control arising from hazards.Enron, the U.S. President George W. Bush signed the Sarbanes-Oxley Act, to force public companies to disclose internal control information. In 2006, China has successively promulgated the "Shanghai Stock Exchange Guidelines for Internal Control of Listed Companies", "Shenzhen Stock Exchange listed company internal control guidelines", and in 2008, promulgated the "basic norms of internal control", which were introduced three standard internal control information indicates that the disclosure of voluntary information disclosure by the turn of the mandatory information disclosure. However, our internal control information on disclosure requirements issued not long, research is still at a preliminary stage. Based on the above considerations, the paper statistical analysised the disclosure of internal control information of listed companies in China under the existing regulations, pointed out the existing problems and ways to improve the internal control of information disclosure of listed companies made a number of recommendations.This paper theoretically analyzes the internal control disclosure, and then from the analysis of the existing internal control disclosure of relevant laws and regulations of departure, selected public offering of China in Shanghai and Shenzhen A shares of 60 listed companies in general as a sample, using descriptive statistical analysis, research under the existing legal system of internal control of information disclosure of listed companies the actual situation, and a comparative analysis of the promulgation of new regulations on listed companies in Shanghai and Shenzhen. In the analysis of the status quo, based on a unified specification that the internal control provisions of the new main responsibility, vulnerability disclosure, mandatory internal control self-assessment report issued to strengthen internal oversight to improve the internal control disclosure, but the content and format of information disclosure, evaluation criteria and the norms of convergence still fall short. From the actual situation of our country, this paper analysises the cause of the inaccurate of the disclosure of internal control of listed companies, including listed companies to their own reasons, the relevant norms is not perfect and external oversight. Finally, based on the actual situation of our country, from the corporate governance structure, related to three aspects of norms and external supervision of listed companies is proposed to further improve the internal control disclosure of certain recommendations.The contribution of this paper is to choose the new internal control standard as the background, to study the effect of the new internal control lately enacted to the information disclosure of listed companies. The paper not only bases on the general situation of listed companies, but also on the Shanghai and Shenzhen of listed companies, respectively, and comparatively analysises the promulgation of the new specification to the stock markets of Shanghai and Shenzhen.