China discusses allowing SEC probes

Updated: 2011-07-06 15:37
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Chinese officials and US will meet next week to discuss giving American securities regulators the right to investigate companies within China for the first time, Bloomberg reported Wednesday citing officials.

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China Securities Regulatory Commission representatives will meet with counterparts from the Securities and Exchange Commission (SEC) and the Public Company Accounting Oversight Board in Beijing from July 11 to 12, the officials with direct knowledge of the plans, who asked not to be named because the talks are private, told Bloomberg.

China-Biotics Inc (CHBT) and Heli Electronics Corp (HELI) are among dozens of companies traded in the US that have disclosed auditor resignations or accounting irregularities this year, leading to the suspension or delisting of their shares. Some of the SEC's previous investigations of such companies have been stalled by the inability to gather information in China.