SEC

The list just keeps growing.

On Thursday, China MediaExpress, a supplier of television advertising services on buses, became the latest Chinese company to be charged by the US Securities and Exchange Commission of “fraudulently misleading investors about its financial condition.”

The complaint also names the company’s chief executive officer, Zheng Cheng, and seeks to bar him from serving as an officer or director of any US publicly traded company. Read more

Remember the tiff between US and Chinese regulators over accounting regulatory standards? You know, the one that resulted in the SEC charging the Chinese affiliates of the Big Four audit firms (plus BDO) with violating US securities law after the five firms allegedly refused to turn over audit work related to nine Chinese companies being investigated for potential accounting fraud?

Well, after a 10-month stand off, it looks like some progress is finally being made to avoid an accounting Armageddon that could have led to the wholesale delisting of Chinese companies on US stock exchanges. Read more

By Paul Gillis of Peking University

The SEC last week charged the Chinese affiliates of Ernst & Young, PwC, KPMG, Deloitte Touche Tohmatsu and BDO with violating US securities law after the five firms allegedly refused to turn over audit work papers related to nine Chinese companies that are being investigated for potential accounting fraud.

But the accounting firms may not have the most to worry about. The action could lead to Chinese companies being kicked off US stock exchanges. Read more

The clash between the US Securities and Exchange Commission and China over accounting regulatory standards probably won’t come to a head for another ten months. But the prospect that the SEC’s high-profile attack on the Chinese affiliates of the Big Four and BDO could lead to a wholesale delisting of Chinese companies from the US stock market appeared enough to spook investors. Read more

Things are heating up between the US Securities and Exchange Commission and some of the US’s leading accounting firms.

The SEC on Monday charged the Chinese affiliates of Ernst & Young, PwC, KPMG, Deloitte Touche Tohmatsu and BDO with violating US securities law after the five firms allegedly refused to turn over audit work papers and other documents related to nine Chinese companies that are currently being investigated for potential accounting fraud. Read more

Whoops, looks like some Indian brokerages got a bit ahead of themselves in trying to attract US investors.

On Tuesday, the US Securities and Exchange Commission charged four financial services firms in India for providing brokerage services to US institutional investors without being registered. Read more