China auditors settle with SEC for $2m

Posted by LE Hung, Year 4 undergrad at the School of Information System, Singapore Management University

The Chinese units of the Big Four global auditing firms agreed to pay $2m for failing to produce documents for companies being investigated for accounting fraud, sparing the auditors from a six-month work ban imposed by a US judge.

The settlement with the US Securities and Exchange Commission resolves a long-running dispute in which the auditors claimed they were caught between US and Chinese rules in the request for documents for more than 100 Chinese companies listed in the US.

The settlement involves Ernst & Young Hua Ming, KPMG Huazhen, Deloitte Touche Tohmatsu, and PwC Zhong Tian.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s