"In a Dec. 3 enforcement action against the China-based affiliates of the Big Four accounting firms, the U.S. Securities and Exchange Commission escalated a three-year impasse between the two nations over whether auditors can share work documents with regulators investigating possible accounting fraud at companies selling securities in the U.S."
Since this action has been brewing for some time, it has now come to a head. However, LPH's auditor is US based and is not subject to these issues. So while it was probably not done consciously, it ends up that NOT having a Big 4 affiliate as the LPH auditor is now a good thing in light of this recent dust up. That's my read on it anyway.
Here is another quote from a friend that helps shed some light on it.
"Actually it is US based audit firms who sent American auditors from US to China (and if necessary using Hong Kong staff as help for better language understanding) vs big audit firms that let their China subsidiary do the auditing of Chinese firms (and their U.S. parent or partner just puts their "brand name" out there to charge 3 times higher fees).
Of course, all big-4 firms and probably all big-10 firms fall into the latter group because they are big, and the standard practice when a company gets too big and with too much bureaucracy is to do geographic division and keep responsibilities of a region within the subsidiaries in that region. So, that's how they got into this kind of trouble. As with old days in China or Europe, these local kings now apparently refuse to abide to the emperor's request for information sharing."
AI
Market Data 
Markets 
