After more than 20 years of continuous development, China's securities market is gradually becoming mature from its immature state, and gradually perfecting its supervision from the lack of supervisory measures, which has become an important component of China's national economy and has made significant contributions to boosting the growth of national economy. With the continuous improvement of economic level, the increasing strength of supervision, and the gradual enhancement of corporate governance, financial fraud has emerged in an endless stream among ChinaÕs listed companies during the development stages of market economy, the proportion of companies violating regulations is much higher than that in western developed countries, and the ratio of companies committing severe violations has shown an upward trend, which not only exert a serious impact on investorsÕ confidence in investing in China's capital market, but also hinder the healthy growth of capital market and listed companies.