Blog Archives

US regulator bans HK accounting firm – Paul Gillis

The efforts by the Public Company Accounting Oversight Board (PCAOB)  to get access to Chinese data from US-listed Chinese firms went into a new phase as it banned a Hong Kong accounting firm, reports Beida accounting professor Paul Gillis on his weblog. It could be a new item on Trump’s China agenda, he suggests.

Is Alibaba cooking the Single’s Day books? – Paul Gillis

China’s e-commerce giant booked another record during its Single’s Day in 2017. But what figures is the company actually reporting? Beida accounting professor Paul Gillis dives into the figures at his Chinaaccountingblog.

Trump: a bit of business, few jobs from China – Paul Gillis

The result of Donald Trump’s visit to China has been underwhelming, especially when some of the published deals were put under scrutiny. Beida accounting professor Paul Gillis looks at the Washington Post and the opening of financial markets where foreign firms could get a majority share.

What do auditors know about HNA? – Paul Gillis

Beida accounting professor Paul Gillis points at his weblog at the rumor Goldman Sachs has decided to suspend work on a HNA subsidiary IPO in the US, because they are unable to get enough information on this Chinese conglomerate. Gillis wonders what auditor PwC knows about their client.

Bike sharing: catching on – Paul Gillis

Bike sharing has met mixed reactions in China, including Beida professor Paul Gillis, who wondered earlier this year whether the investments made business sense, while they are already expanding internationally. The business case still has to be proven, Paul Gillis now admits on North Carolina Public Radio, bike sharing has changed his urban life for the better.

Foreign auditors get more legal space – Paul Gillis

China has diminished limits on foreign businesses with its new negative list for 11 free trade zones. That includes accounting, writes Beida accounting professor Paul Gillis at his weblog, although most foreign accounting firms had already workarounds for most legal limitations of the past, he adds.

Xi Jinping: more control on private companies – Paul Gillis

China is bringing more of its private companies to heel, both domestically and their international investments. Peking University accounting professor Paul Gillis sees it as an effort by president Xi Jinping to consolidate its power, he tells the VOA.

Regulators start to punish auditors – Paul Gillis

China’s auditing regulators have issued temporary bans for the Chinese affiliate of BDO and Ruihua, the Chinese affiliate of both Crowe Horwath and RSM, over the past few months. Harsh measures to get auditing firms in line, even for international standards. Beida auditing professor Paul Gillis has his doubts, he writes at his weblog.

Supreme court does not declare VIE’s illegal – Paul Gillis

Company constructions via fiscal paradises, VIE’s or variable interest entities, are regular ways to avoid corporate government restrictions in China, and under official attack just for that. The Supreme Court fielded a verdict on transactions by one of those VIE’s, but – says accounting professor Paul Gillis on his weblog, it did not clarify whether VIE’s might lose their validity.

Bad loans: government avoids bankruptcies – Paul Gillis

The government has been pulling in bad loans, rather than letting companies face bankruptcy and letting the markets do the job. For China’s leaders stability is key, says Beida accounting professor Paul Gillis to Reuters.