Right now, regulations call for companies listed on U.S. stock exchanges to let the Public Company Accounting Oversight Board (PCAOB) oversee the auditing of their financial records if they want to raise money by selling stocks and bonds to the American public.  This is a sound regulation rooted in investor-protection.  All U.S. companies work with the PCAOB, but the Chinese ones don't. The PCAOB and Securities and Exchange Commission (SEC) have for years tried to get China to comply with the regulation but with no success.  Regulators have the power to kick the Chinese companies off the exchange but have been reluctant to use the "nuclear option" of delisting. This impasse is about to be broken.  This past Wednesday, the U.S. Senate unanimously passed a bill forcing Chinese companies to comply with the auditing regulation or be de-listed.  The bill is called the Holding Foreign Companies...(Read Full Post)