(Reuters) – The United States and China are closing in on a deal that would allow U.S. accounting regulators to travel to Hong Kong to inspect the audit records of Chinese companies listed in the United States, The Wall Street Journal reported on Thursday.
Beijing securities regulators are arranging for New York-listed Chinese companies and their accounting firms to transfer audit working papers and other data from China to Hong Kong, the report added: https://on.wsj .com/3pJVRCB, citing people familiar with the matter.
The US Public Company Accounting Oversight Board (PCAOB) regulator will then conduct an on-site inspection.
The PCAOB declined to respond to Reuters’ request for comment.
Beijing and Washington are negotiating to resolve a long-standing audit dispute over U.S.-listed Chinese companies.
Beijing bans foreign inspections of audit documents of local accounting firms on national security grounds.
In early August, five U.S.-listed Chinese state-owned companies audited by U.S. regulators said they would voluntarily delist from the New York Stock Exchange.
In order to support the economic resurgence due to the new crown epidemic – 19 example, China will also take more measures, including increasing financial support for infrastructure projects and increasing support for The level of support from private companies and tech companies, state media quoted the cabinet as saying on Wednesday.