Abstract: This paper examines the link between political connction, government intervention, and China’s individual-controled listed firm's investment. Using the samples of individual-controlled firms during 2004-2006, it finds that the local government, centre enterprises and local government of other district have few effect on individual-controled firm's over-investment. Local government have few effect on under-investment of the individual-controled firms, but centre enterprise and local government of other district have distinct effects. The finding implies that centre enterprise and local government of other district ,as a alternative mechanism,can protect the individual-controled firm from the local government's intervention.