Identification And Civil Liability For Acts Of Market Manipulation

Zhejiang Hengyi Group Manipulated "Hengyi Petrochemical" stock case as the first penalty in cases of price manipulation during the private placement listed by China Securities Regulatory Commission,it caused widespread concern in society and had a great social repercussions.The case once again raises some thought of the legal professions in Security Market manipulation:One is how to identifing the securities market manipulation,it is means in securities market of numerous changing,what kinds of behavior can be identified as manipulating the securities market.Although this is a commonplace problem,but there are still a variety of identification difficulties in practice,such as the purpose of maintain the stock price manipulation if the securities market manipulation and Regulation of manipulating the securities market of the new post-2015 bull market crash everyone hot.Identification of manipulating the securities market involves not only administrative punishment,but also involves the subsequent civil liability issues.On the one hand, if the perpetrator of the manipulation are not properly punished,this behavior will inevitably lead to popular in the stock market,flagrant violations of the interests of investors,this is a huge disaster to a stock market;On the other hand, if the sub-indiscriminate normal trading behavior of investors will be recognized as market manipulation,overkill,it will be a great blow to investor enthusiasm,so that investors are timid in securities transaction,it is not conducive to the healthy development of the securities market.The second is the issue of stock market manipulation bear civil liability.Although the case has a larger social repercussions,but in addition to public administrative penalty decision, no reports about the the loss of investors to sue for civil damages.Since only the provisions of the Securities Act of investors affected by the loss of the right to manipulate the securities market actors to bring civil action for damages,this provisions not be clear and specific,the judge mostly expressed no legal provision to dismissed the plaintiff’s claim in practice.As in a two typical cases of stock market manipulation civil compensation of Cheng Wenshui, Liu Yanze stock price manipulation case and Wang Jianzhong manipulate stock price case,plaintiff require reference to the provisions concerning the false statements and manipulating the securities market recognized the causal relationship between the results of the damage,but in the end the courts are existing laws and regulations, judicial interpretations were not expressly as well as false statements and stock market manipulation differences exist dismissed the plaintiff’s claim.So, the legitimate interests of investors how to preserved the legitimate interests of investors?Around this problem,elements of this paper, the behavior of stock market manipulation from civil liability and civil liability in two parts for analysis.Elements of civil liability is to solve the problem of the responsibility of the establishment,What must be explicitly elaborate on the act before the problem is the nature of civil liability.The nature of civil liability for securities fraud,there are academics say contractual liability, tort liability that said three independent responsibility doctrine,China’s major tort liability is taken that,this is the "Supreme People’s Court on a number of provisions of civil compensation case to the stock market because of false statements caused" has been clear.Based on,the nature of stock market manipulation should be civil liability tort liability.Thus, stock market manipulation Elements of civil liability should include acts harm causation, fault behavior and the damage between these four aspects.Civil liability addressed is how to bear the problem of who will bear,therefore, this part relates to civil liability and the persons responsible for the claimant, the principles and scope of compensation, the loss of three calculation methods.