China Life Fined for Accounting Problems
April 7th, 2004A small part of the more than USD 3 billion raised by China Life in its recent IPO is offset by the imposition of a USD 8 million fine against the company by the PRC National Audit Office.
The government’s “audit” was apparently in process prior to the IPO but was not disclosed.
Shareholder litigation and reportedly SEC investigtions are underway. The private litigation consequences could be much more serious than the PRC fine.
The China Daily reports on the development here.