Double due diligence efforts before investing

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clpstaff &clp articles

Recent fraud allegations prompt more scrutiny on PRC companies seeking to list

A sound security investment now calls for “doubled” due diligence efforts before and throughout the investment period, say counsel.

Securities regulators from China and the US are looking to more closely scrutinise US-listed Chinese companies following recent accounting scandals that have resulted in slumping securities prices and the short-selling of Chinese stocks.

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