Corporate Governance

Stricter disclosure requirements imposed for M&A partnerships.

The most updated interpretation of China’s company law addresses shareholder rights protection, and other rights and actions related to corporate governance. Although there are noteworthy improvements, including creating a balance between shareholders’ ownership rights and preemption rights, practical change is limited and inconsistencies still require clarification.

Examination and approval streamlined to facilitate investment.

LLPs have been added to accounting firm regulations.

Wei Wang of Co-Effort Law Firm highlights the progress and impact of China’s anti-corruption campaign, the increasing compliance burdens in the finance, internet, and pharmaceutical industries, and the procedures to follow for internal risk controls and investigations. 协力律师事务所的王炜律师重点介绍了中国反贪腐的进展和影响，对金融、网络和药品等行业日益增加的合规重担，以及内部风险控制和监管调查时的应对程序。

Financial institutions in the region are feeling the heat from increasingly aggressive regulatory actions following landmark AML cases involving Hong Kong and Chinese banks

Corporate liability for employee bribery acts clarified.

How industry barrier changes in the previous and new versions of the Foreign Investment Catalogue--and the introduction of the Negative List system--impact market access compliance

The draft PRC Cryptography Law, set to be the first and highest-level legislation governing all encryption technology in China, mandates strict cooperation with the authorities and limits foreign suppliers from the market

Shareholders can be held liable for divulging trade secrets