McHenry Statement on Agreement Regarding Inspections and Investigations of Audit Firms Based in China and Hong Kong
Washington,
August 26, 2022 -
Today, the top Republican on the House Financial Services Committee, Patrick McHenry (NC-10), issued the following statement in response to the agreement announced today between the Public Company Accounting Oversight Board (PCAOB) and Chinese officials regarding inspections and investigations of audit firms based in China and Hong Kong.
“Today’s agreement is only the first step to ensure Chinese companies listed on U.S. exchanges comply with our securities laws," said Republican Leader McHenry. "While this progress is important, we must recognize that we cannot beat China by becoming more like the Chinese Communist Party (CCP). It’s critical that we ensure our capital markets remain the most open, deep, and liquid in the world. As a free people in a constitutional republic, the rule of law and free markets should remain our guiding strength. To confront the generational threat posed by the CCP, Congress must develop a more robust, comprehensive approach that also includes sanctions and export controls. One thing is clear following this announcement: more work must be done.”
Background:
Last year, the Republican Leaders on the House Financial Services Committee released principles to guide Congress’ evaluation of legislation intended to counter the rise of the Chinese Communist Party.
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