On the basis of learning from the structure of foreign securities group litigation，China’s Securities Law stipulates that the investor protection institution shall act as the litigation representative and institute civil damage compensation litigation for the injured investors in securities tort cases such as Securities Misrepresentation in accordance with the principles of “Express Out and Implied to Join”，thus forming the litigation system of securities special representative with Chinese characteristics. On November 12，2021，Guangzhou Intermediate People’s Court made a judgment of first instance on the civil compensation case of Securities Misrepresentation of Kangmei Pharmaceutical CO.，LTD. 52037 investors represented by the investor services center are supported a total compensation of about 2.459 billion Yuan. Kangmei pharmaceutical case is the first litigation case of special representative action for civil compensation for Securities Misrepresentation in China. It is also the civil compensation case of misrepresentation of listed companies with the largest number of plaintiffs and the highest amount of compensation heard by the court so far. The judgment of the case is an important milestone in the construction of the rule of law in China’s capital market and has great demonstration significance. The whole litigation mode of the case has become a classic example to test the litigation rules of China’s securities special representative action，which reflects the active exploration of constructing the investor protection system with Chinese characteristics based on China’s market practice. However，according to the current investigation，there is also room for deliberation and improvement in the litigation system of securities special representative action in China.