Paul Leder Quoted on Regulatory Action Taken by China Against a Company That Had Just Listed in the U.S. in the Financial Times
"China's Crackdown on U.S. Listings Threatens $2tn Market"
Paul Leder, a former senior official at the U.S. Securities and Exchange Commission (SEC), commented on the significance of China's decision to take regulatory action against a company within days of its listing in the U.S. Some see the Chinese action as responding to U.S. legislation requiring the delisting of companies located in countries, such as China, that do not permit the Public Company Accounting Oversight Board (PCAOB) to inspect auditors in their jurisdictions. Leder, who lead the SEC's international program from 2014 to 2018, noted that while the Chinese authorities accompanied its action with a public statement about the need for supervisory cooperation, there was still a real question about whether they are "willing to commit to the kind of direct oversight of foreign audit firms required under U.S. law."