Research On The Issue Of Internal Control Disclosure Information Of Mining Industry Listed Corporation

With the acceleration of economic globalization，market competition grows sharply,particularly since2008when the global financial crisis has taken place, which brings thelisted companies a variety of risks. Lehman Brothers and Bear Stearns got bankruptedbecause of their huge investment on subprime investment，Fannie Mae and Freddie Mae-twomortgage giants are taken over by the U.S. government，China’s CITIC Pacific Investmentexperienced huge1osses on derivative financial products. Such events not only fought againstthe confidence of investors，but also exposed the lack of internal control arising from hazards.After the Enron Event，the U.S. president George W. Bush signed the Sarbanes-OxleyAct to force public companies to disclose internal control information. In2006，China hassuccessfully promulgated the “Shanghai Stock Exchange Guidelines for Internal Control ofListed Companies”,“Shenzhen Stock Exchange listed company Internal control guidelines”,and in2008，promulgated the “basic norms of internal Control”, which indicated thedisclosure of information changed from voluntary information disclosure to mandatoryinformation disclosure. However it’s not long since our internal control information wasissued, and the relevant development is still during the preliminary development stage. Basedon the above considerations，this paper reveals several practical problems of the companywhich they may be confronted with and need to be resolve by using a combination of standardresearch and case study to analysis the objectives, elements, evaluation and audit of internalcontrol.The paper is composed of six parts. Firstly, a comprehensive description of research oninternal control disclosure by domestic and foreign countries has been provided, followed by a brief introduction to the basic theory of the internal control disclosure. Furthermore,selected the Mining Company M as a sample，using descriptive statistical analysis, there is abrief introduction and analysis under the existing legal system of internal control ofinformation disclosure of listed companies. In the analysis of the status quo，based on aunified specification that the internal control provisions of the new main responsibility，vulnerability disclosure， mandatory internal control self-assessment report issued tostrengthen internal oversight to improve the internal control disclosure，but the content andformat of information disclosure，evaluation criteria and the norms of convergence still fallshort.From the actual situation of our country, this paper analyses the cause of the inaccurateof the disclosure of internal control of listed companies， including their own reasons，theimperfection of the relevant norms and external supervision. Finally，some advices have beensuggested to further improve the internal control disclosure based on the actual situation ofour country，from the corporate governance structure，relating to three aspects of norms andexternal supervision of listed companies. This paper is trying to help the mining companies tomitigate operational and financial risks，develop healthily and enhance their investors’confidence.