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Overseas Stocks in US - Verification of Govt Control...

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  1. #1

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    Overseas Stocks in US - Verification of Govt Control...

    Looks like this one is going to create some amount of pain with companies that are rumored to be govt controlled.

    Worth noting that this bill was introduced in March 2019...

    This bill requires certain issuers of securities to establish that they are not owned or controlled by a foreign government. Specifically, an issuer must make this certification if the Public Company Accounting Oversight Board is unable to audit specified reports because the issuer has retained a foreign public accounting firm not subject to inspection by the board. Furthermore, if the board is unable to inspect the issuer's public accounting firm for three consecutive years, the issuer's securities are banned from trade on a national exchange.
    https://www.congress.gov/bill/116th-...enate-bill/945

    Morrison likes this.

  2. #2

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    More here:

    Currently, China’s communist government refuses to allow the PCAOB to inspect audits of companies registered in China and Hong Kong. Such companies represent a keen risk to American investors as nearly 11 percent of all securities class action lawsuits in 2011 were brought against Chinese-owned companies accused of misrepresenting themselves in financial documents.
    https://www.kennedy.senate.gov/publi...A-60BFD2B9483A

  3. #3

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    Which specific companies would be at the biggest risk here? China Mobile is NY listed right?


  4. #4

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    I read a lot but did not come across this news before coming here to Geoexpat.

    What sh*t do you read ?


  5. #5

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    Quote Originally Posted by Morrison
    I read a lot but did not come across this news before coming here to Geoexpat.

    What sh*t do you read ?
    Obviously shit that you don't read.
    DennisMilano likes this.

  6. #6

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    Quote Originally Posted by Kowloon72
    Which specific companies would be at the biggest risk here? China Mobile is NY listed right?
    All companies... BABA would be on top of the list I suspect.

    I guess it was expected, given the HKEX index rule change.

  7. #7

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    such as ?


  8. #8