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IPFS News Link • Stock Market

U.S. Government Support Grows for Nasdaq's Compliance Proposals for Chinese Companies


(including China) or whose auditors' qualifications raise concerns and the Senate's recently passed bill to delist companies that have not had PCAOB inspections of their auditors for three consecutive years, the White House, the Secretary of State, and the Chairman of the SEC have taken actions or released statements in support of the goals of these proposals.

The White House

On June 4, 2020, the White House issued a Presidential Memorandum entitled "Memorandum on Protecting United States Investors from Significant Risks from Chinese Companies" to the Secretary of the Treasury, along with White House advisors on economic policy and national security, ordering the President's Working Group on Financial Markets (PWG) to review and make recommendations with respect to the Chinese government's actions to prevent Chinese companies from complying with U.S. investor protection regulations, such as PCAOB auditor inspections. The PWG consists of the Treasury Secretary and the Chairmen of the Federal Reserve Board, the SEC, and the Commodities Futures Trading Commission (CFTC) or their designees. The White House memorandum orders: