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CRS Issues Report on US-China Capital Market Issues

In an April report on issues facing U.S. firms operating in China, the Congressional Research Service suggested Congress consider expanding U.S. government reporting on Chinese companies with military ties, imposing more due diligence requirements for U.S. “actors” that represent Chinese…

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firms, and strengthening disclosure requirements relating to Chinese investments. The CRS report also said Congress should decide whether to authorize the Securities and Exchange Commission to “further investigate and verify the accuracy” of information provided to the SEC by Chinese companies and issue “regular alerts” on Chinese investments.