ASA Welcomes Administration Action to Protect Investors from Fraudulent Chinese Companies
Calls for Chinese companies failing to comply with new requirements to deregister in six months
WASHINGTON – The American Securities Association (ASA) today applauded the Administration for standing up to protect American investors from fraudulent Chinese companies and welcomed recommendations from the President’s Working Group to ensure Chinese companies comply with U.S. audit requirements.
“For far too long the Chinese Communist Party has exploited America’s capital markets to fund human rights abuses, carry out environmental injustices, build up its cyber army, and defraud American investors and retirement savers,” said ASA CEO Chris Iacovella. “This is a common sense move to prioritize our economic and national security while leveling the playing field for American companies competing for capital.”
“We appreciate the Administration, Treasury, SEC, and policymakers for acting on our recommendations. Chinese companies failing to comply with these basic audit requirements should be forced to deregister in six months, not have the benefit of three additional years to delist. To further protect Americans the House should swiftly pass Senator Kennedy and Senator Van Hollen’s Holding Foreign Companies Accountable Act, a bill that passed in the Senate with unanimous support. We cannot afford to wait any longer.”
ASA has been at the forefront of advocacy to end China’s fraud on our markets. ASA recently sent a letter to the SEC highlighting the risks to American investors from Chinese companies, including calling for the end of the 2013 agreement. Additionally, ASA sent a letter to the Senate Banking Committee outlining these same policies recommendations. To read Iacovella’s recent op-ed in RealClearPolitics, click here.
ASA’s regional financial services companies work in communities across the country to create jobs, grow the economy, and increase prosperity for all Americans. The ASA exclusively represents the capital market and private client interests of its members and seeks to promote free market principles making it easier to access financial advice and capital. ASA members help Americans save for retirement, provide Main Street businesses with capital to grow, and advise hardworking Americans how to create and preserve wealth. For the latest updates follow @AmerSecurities and learn more at http://americansecurities.org/.