mdce is fully reporting otc company. i would guess that the licenses and the transactions that the co undertakes in china have all been reviewed or audited by independent auditors. this is jmho. their auditors are one of the most reputable audit firms in the states according to the Public Company Accounting Oversight Board. mdce audit firm send personnel to china and or have chinese-speaking staff in their offices in china that understand the necessities of verifying chinese documents for public companies that do business there. i am satisfied with my investment in mdce and that the license they have shown to us is verified by the audit firm.
Here is excerpt I found:
MaloneBailey explained the firm’s use of Chinese auditors. “As a firm with a significant and growing presence in the Chinese marketplace, MaloneBailey acknowledges the importance of having ‘boots on the ground’ in China and a staff who possess the language, cultural, and technical expertise to effectively plan, supervise and review the audit work,” said Chinese audit practice leader and partner George Qin in a statement. “MaloneBailey has and will always be committed to ensuring high-quality financial reporting and auditing as well the proper application of PCAOB standards and SEC requirements and expectations.”
"We are doing exactly the right things," said MaloneBailey managing partner Wesley Middleton. "A lot of CPA firms are sitting back in the U.S. and they are auditing Chinese companies with the use of a subcontract Chinese auditing firm. We are not doing that. We are sending our people to China and we are putting our people on the ground. We are supervising. We are auditing ourselves. We are not the subject of that [PCAOB] memo."
In addition to Qin, MaloneBailey employs 25 Chinese nationals educated in the U.S. whom the firm said possess the requisite skills in terms of language, technical, and cultural expertise to manage the intricacies of conducting audits in China. Chinese audit staff, who have in-depth knowledge of U.S. GAAP, U.S. Generally Accepted Auditing Standards, and SEC rules, span all levels of the firm, including staff, senior, manager and partner levels. MaloneBailey’s presence in China is year round and constant, according to the firm. At present, four staff members, who were not only hired in the U.S. but also educated and trained in the U.S., have been relocated to China on a permanent basis to conduct audits and offer effective solutions and guidance for clients.
The number of MaloneBailey staff relocated to China permanently is expected to grow over the course of the coming months. Furthermore, Chinese audit staff from the Houston office travel to the China region on an ongoing monthly basis.
AI
