Case Study On Market Manipulation Of Kairuide Company

Malicious manipulation has always been one of the culprits disturbing the development of the securities market.It arises with the emergence of the securities market and develops with the development of the securities market.The new securities law was officially implemented on March 1,2020,which significantly revised the relevant provisions of market manipulation,marking a new stage of China's capital market supervision.The study of practical cases of market manipulation is of practical significance to protect the legitimate rights and interests of investors and promote the stable and orderly development of the securities market.Taking KAIRUIDE company as an example,this paper first deeply analyzes the conditions and motivation of its actual controller to implement market manipulation,then classifies and expounds the specific manipulation methods involved in this case,and finally studies the impact of manipulation from the aspects of short-term market response,long-term market response and the impact of shareholders' equity.The results show that market manipulation will cause serious negative economic consequences: on the one hand,it will damage the interests of small and medium-sized investors affected in the market,on the other hand,it will destroy the effect of information transmission and resource allocation in the securities market.In addition,the frequent occurrence of manipulation also reveals that there are still some loopholes in the internal governance of listed companies and the external supervision of the securities market.Therefore,in order to effectively prevent and supervise market manipulation,this paper puts forward some supervision and management measures from the three aspects of listed companies,external supervision and legal regulation,such as improving corporate internal governance,paying attention to the supervision of media and intermediaries,improving litigation mechanism and increasing illegal costs.It is expected that through the analysis of this case,we can provide ideas to curb such illegal acts,ensure the effective operation of the securities market,and promote the continuous improvement of the securities market to meet the needs of economic development.