US audit agency gains full access to inspect, investigate Chinese firms for the first time in history – Invesco China Technology ETF (ARCA: CQQQ), Global X MSCI China Financials ETF (ARCA: CHIX)

  • The US accounting agency, the Public Company Accounting Oversight Board (PCAOB) has said full Access to inspect and investigate firms in China for the first time in history.
  • The move averts a crisis for nearly 200 Chinese companies that could have been delisted from US stock exchanges.
  • “For the first time in history, we have been able to conduct full and thorough inspections and investigations to root out potential problems and hold firms accountable for fixing them,” said PCAOB Chairperson Erica Williams.
  • in march this year Zee Lab Limited zlab, Beijin Limited BGNEAnd Hachmed China Limited hcm Was flagged by the SEC for failing to comply Law governing US-listed companies,
  • However, any issues uncovered due to more stringent accounting oversight “could be very bad for the sector, especially if no effort is made to fix or clean it up,” said Tim Ghrisky, senior portfolio strategist at Ingalls & Snyder. said in a statement. reuters Report good.
  • In its statement, the PCAOB said it exercised sole discretion in selecting the firms for audit and selected two at KPMG Huazhen LLP in China and PricewaterhouseCoopers in Hong Kong.
  • PCAOB staff identified “several potential deficiencies” in its inspection work, PCAOB’s Williams said, adding that the inspection report will be finalized and made public next year.
  • In a statement, he said: “Chinese authorities will be required to give the PCAOB “full access for inspection and investigation in 2023 and beyond.”
  • Photo: Body Stock and Dragon Claws by Shutterstock

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