US watchdog uncovers major deficiencies in audits of Chinese companies
TL;DR
The US Public Company Accounting Oversight Board (PCAOB) found unacceptable deficiencies in audits of US-listed Chinese companies performed by KPMG in China and PricewaterhouseCoopers in Hong Kong. The deficiencies were so great that auditors failed to obtain enough evidence to substantiate companies' financial statements. The PCAOB will give the two firms a year to remediate deficiencies around quality controls, and the agency will make referrals to the agency's enforcement team where appropriate.
- U.S. watchdog says it found unacceptable problems with Chinese company audits Yahoo Finance
- Regulators find ‘unacceptable’ flaws in audit papers for U.S.-listed Chinese companies MarketWatch
- KPMG and PwC faulted by US regulator over Chinese audits Financial Times
- US accounting regulator finds ‘unacceptable rate’ of shortcomings in mainland China audits South China Morning Post
- Audits of Chinese Companies Are Highly Deficient, U.S. Regulator Says The Wall Street Journal
- View Full Coverage on Google News
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