Research On Financial Fraud Of Listed Companies

With the increasingly stringent supervision of the securities market in China,the exposure of corporate financial fraud has increased year by year,and the disciplinary efforts have increased.The paper selects Xintai Electric,the first unit of GEM to withdraw from the market due to fraudulent sales,as a case study object.It uses the risk factor theory to conduct in-depth analysis of general and individual risks.A comparative study based on its motivation and the case of Yabaite that is also suspected of fraudulent listing.Thus put forward the corresponding prevention and governance measures.At present,most of the research on Xintai Electric's case is based on the GONE theory.The theory is often more focused on the analysis of fraudulent means.However,other factors that lead to fraud success are rarely discussed.Other literature based on the theory of fraud risk factors also ignores the consideration of changes in China's regulatory environment.No systematic and in-depth research results have been formed on the analysis of individual factors,and no literature has studied the special features of the case from the perspective of comparison between Xintai Electric's case and the Yabaite case.This article mainly uses the fraud risk factor theory combined with the way of Xintai Electric's case,and explores the motivation of Xintai Electric to implement fraud from the perspective of individual factors and general factors in the risk factor theory.And to introduce another case of fraud,which is suspected of fraudulent listing,as a comparison,by comparing the fraudulent means of the two cases,the financial personnel's behavior and the punishment results,the special features of the Xintai Electric case are reflected.On this basis,taking the differences in the comparison as a starting point,we put forward the current laws and relevant law enforcement departments in our country and the problems existing at the supervisory level,and propose corresponding countermeasures based on these issues.Including the process of accelerating legislation and revision of existing laws,adding new dedicated units to enhance law enforcement,and strengthening cooperation with regulatory agencies in other countries or regions to more effectively investigate illegal activities abroad.Divide the responsibilities of external agencies to avoid duplication of efforts to improve the efficiency of censorship,and improve audit hiring systems in many ways.Xintai Electric Inc.,as the first company to withdraw from the market due to fraud in the history of China's securities market,has a high research value.The handling of the Xintai Electric Incident reflects the change in attitude of the regulatory authorities.It can play a great deterrent effect on companies still in the market who try to fraud their way out and is conducive to the sound operation of the capital market.This is a lesson to better protect the interests of investors,improve the efficiency and effectiveness of supervision,and avoid similar incidents as much as possible.