Ministry of Finance and China Securities Regulatory Commission, Annual Review of Securities and Futures-related Business Permits of Certified Accountants and Accounting Firms measures

Issued: September 13 2001
Effective: as of date of issue

Main contents: The Measures provide that all certified accountants and accounting firms with securities and futures-related business permits shall be subject to annual review by the China Certified Accountants Association and that their permits shall be renewed only upon their passage of the annual review (Article 2). To pass the annual review, a certified accountant must be at an age below 65, work at an accounting firm that has a securities and futures-related business permit and have not been subject to administrative punishment for breach of professional ethics or serious malpractice during the year under review (Article 4). In the case of an accounting firm, it must have at least 20 certified accountants each of whom has a securities and futures-related business permit and has passed the annual review, have not less than 40 certified accountants who are below the age of 60, have not been subject to administrative punishment for breach of professional ethics or serious mal-practice during the year under review and have passed the annual review of accounting firms (Article 5). For certain insufficiencies, an accounting firm may be given a grace period for rectification and it is allowed to engage in securities and futures-related business during this period (Article 6). The Measures also include the forms that must be completed and submitted for the annual review.
Related legislation: Administration of the Licences for Registered Accountants to Engage in Business Relevant to Securities and Futures Provisions, Jun 10 2000
Repealed legislation: Ministry of Finance and China Securities Regulatory Commission, Matters Concerning the Administration of Securities and Futures-related Business Permits Circular, 2001