Young raises concerns to SEC about Americans investing in China-based companies

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.SenToddYoung wrote a letter to Gary Gensler, the chairman of the SEC, to express concerns about the potential exposure American investors face from publicly traded companies based in China.

Young urged the SEC to take additional steps to protect traders and fiduciaries from what he says are “chronic, often intentional, lack of transparency; poor corporate governance or fraudulent behaviors” by companies based in China that can be traded in the United States. Young also said there is a great risk for “arbitrary or spurious” enforcement actions by Chinese regulators.

He provides examples of five companies that meet these descriptions, including iQiyi, Luckin Coffee, TAL Education Group, HNA Group, and Evergrande Group.

 

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