Rubio discusses China delisting law with PCAOB Chair Williams

U.S. Sen. Marco Rubio has issued the following press release:

Beijing is scrambling to comply with the Holding Foreign Companies Accountable Act. The law, written by U.S. Senators Marco Rubio (R-FL) and John Kennedy (R-LA) in 2020, requires foreign companies listed on American exchanges to comply with the same audit oversight standards as all other U.S. listed firms. 

Rubio spoke with Public Company Accounting Oversight Board (PCAOB) Chair Erica Williams regarding the refusal of Chinese firms to provide access to independent auditors.

• “We need to protect American retirees. If Chinese companies listed on our exchanges do not open their books, then they will be delisted. That is the law, without exception.
• “I appreciate PCAOB Chair Williams’ commitment to protecting American investors, and I’ll continue working with her to fully implement and enforce my Holding Foreign Companies Accountable Act.” — Senator Rubio

Earlier this month, the PCAOB told the Financial Times that it “must have complete access to audit work papers of any firm it chooses to inspect or investigate—no loopholes and no exceptions.”

Looking forward… 260 of China’s biggest companies will be delisted in 2024 if the Chinese Communist Party does not allow them to comply with U.S. securities law.