The China Securities Regulatory Commission, the Ministry of Finance Circular of China Securities Regulatory Commission and the Ministry of Finance on Issuing “Measures for Adopting the System of Temporary January 12, 2001 Every relevant accounting firms: With a view to fully learning from international standards, making more fair and reliable the auditing results of listed companies Measures for Adopting the System of Temporary License to Foreign Accounting Firms for Engaging in Business of Auditing for Financial Article 1 With a view to fully learning from international standards, making more fair and reliable the auditing results of listed companies Article 2 Listed companies of banking, securities and insurance industries shall retain simultaneously one domestic and another foreign accounting Article 3 The temporary license for business relating to banking, securities and insurance companies shall be valid for one year. Article 4 Before arranging business with their clients, foreign accounting firms shall submit relevant documents to CSRC and the Ministry of Article 5 Foreign accounting firms applying for temporary license for business relating to banking, securities and insurance companies shall (1) having auditing experience in relevant industries (from outside China); (2) being an international accounting firm; (3) being familiar with relevant industries in China. Article 6 Foreign accounting firms applying for temporary license shall submit the following documents: (1) a written application for temporary license for business relating to banking, securities and insurance companies; (2) specifications of relevant business; (3) basic situation of the firm outside China; (4) resumes of partner(s) and senior manager(s) relating to business to be performed in China. (5) other documents required by CSRC and the Ministry of Finance. All documents above shall be in Chinese. Article 7 CSRC and the Ministry of Finance may make spot-checks on the quality of service performed in China by foreign accounting firms applying Article 8 Where any foreign accounting firm performs business relating to listed companies of banking, securities or insurance industry without Article 9 Where any foreign accounting firm obtains temporary license by fraud or other illicit means, the temporary license shall be revoked, Article 10 Foreign accounting firms who violate Chinese Law in performing business relating to listed companies of banking, security or insurance Article 11 CSRC and the Ministry of Finance shall be responsible for the interpretation of these Measures. Article 12 These Measures shall enter into force as of the date of promulgation. |
The China Securities Regulatory Commission, the Ministry of Finance
2001-01-12