SEC Finalizes Rules Allowing It to Delist Foreign Firms From US Exchanges If They Fail to Meet Audit Requirements

SEC Finalizes Rules Allowing It to Delist Foreign Firms From US Exchanges If They Fail to Meet Audit Requirements
A file photo of a U.S. Securities and Exchange Commission logo adorning an office door at the SEC headquarters in Washington, June 24, 2011. Jonathan Ernst/Reuters
Katabella Roberts
Updated:
The U.S. Securities and Exchange Commission (SEC) on Thursday finalized rules relating to the Holding Foreign Companies Accountable Act (HFCAA) which would allow it to delist foreign firms from American exchanges if they fail to observe U.S. accounting rules and comply with requests for information from regulators.
The bipartisan legislation was signed into law by former President Donald Trump on Dec. 18, 2020, and would see foreign companies delisted from U.S. exchanges if they fail to comply with the Public Company Accounting Oversight Board’s (PCAOB) audits for three consecutive years.
Katabella Roberts
Katabella Roberts
Author
Katabella Roberts is a news writer for The Epoch Times, focusing primarily on the United States, world, and business news.
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