Partner Edward Normandin Speaks to China Daily About Chinese Reverse Merger Companies
Partner Edward Normandin, a member of Pryor Cashman’s Corporate and China Practice Groups, was interviewed by the U.S. edition of China Daily for its June 3, 2011 article “Investors pit blame on ‘bad apples’”.
The article brings to light that stocks of many Chinese companies, listed on stock exchanges in the United States, have plunged recently after a number of accounting mismanagement and fraud scandals. Recent reports issued by the staff of Public Company Accounting Oversight Board (PCAOB) have aimed at a small number of U.S.-based accounting firms which were taking shortcuts in their audit work for Chinese reverse mergers, resulting in a number of these companies having had their trading halted or suspended due to considerable accounting issues.
Normandin advises that any Chinese company which wants an IPO or a reverse merger in the U.S. should engage a qualified, experienced firm that knows China.
To read the article in its entirety, please click here.
