CSRC Li Chao: diversified investor protection mechanism is increasingly sound

Li Chao, vice chairman of the CSRC, delivered a speech at the first Xiamen financial and judicial coordination forum, saying that the diversified investor protection mechanism has become increasingly sound. The successful landing of the first securities dispute special representative lawsuit has opened up a litigation relief channel of "implied participation" for investors. Under the strong guidance and support of the judicial authorities, the case of Kangmei pharmaceutical was successfully launched from the ordinary representative lawsuit, and the transformation, judgment and compensation of the special representative lawsuit were completed in less than one year. 52000 investors were compensated 2.459 billion yuan, of which the number of small and medium-sized investors with a loss of less than 500000 yuan accounted for more than 99.4%, all of which were paid in full in cash through the bankruptcy reorganization procedure. In addition, the investor protection agency actively participated in the litigation practice of Wuyang bond, Feile sound, Zhongchuang environmental protection and other ordinary representatives, and accepted the court's entrustment to provide investors with loss measurement and other services. In the adjudicated ordinary representative litigation, more than 1000 investors were compensated nearly 1billion yuan. At present, there are also two cases in Xiamen jurisdiction that apply to the litigation procedure of ordinary representatives.