China Securities Regulatory Commission (CSRC) has been working to improve the rules on publicizing regular and provisional reports by listed companies, a senior CSRC official said.
Shih May-lung, CSRC vice-chairwoman, made the remarks Tuesday at an international symposium in south China's Shenzhen city on supervising the disclosure of listed companies' information, saying the move is to guarantee that investors get the accurate and important information they want to obtain in time.
Shih pledged the CSRC will also take a range of measures to create a good external environment for improving the quality of disclosing information.
These measures will include establishing systems for credibility and trustworthiness among listed companies, improving the capacity to govern listed companies and intensifying supervision over intermediary organizations.
There have been cases of fake or false information about listed companies being disclosed, which have been harmful to the broad masses of investors, said Shih.
Citing some listed companies, which use complicated information including the use of difficult terminology, or play upon words to cover up real problems when reporting performance, the vice-chairwoman noted that it is necessary to improve the effectiveness of information disclosed.
A good information disclosing system is one of the foundation stones for supervising bourses, and is of great significance to enhance the confidence of investors and improve the transparency of China's securities market, Shih went on.
China is now blessed with a listed companies' information reporting system which is guided by the Securities Law and complemented by administrative regulations and industry rules.
By the end of October this year, 1,215 companies have been listed on the Shenzhen and Shanghai bourses, issuing 585.9 billion shares. A total of 853.8 billion yuan (about US$102.87 billion) of capital has been raised.
(Xinhua News Agency December 19, 2002)
