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China’s exchanges released revised delisting rules, making it easier to delist companies that commit financial fraud

Chinese stock exchanges have made it easier to delist companies that commit financial fraud in the revised rules, following market complaints that the requirement in the earlier draft left the delisting threshold so high that many misbehaving companies would never cross it.

The revised rules released last week, which became effective immediately, set lower bars over financial fraud-triggered delistings and stipulated that companied that committed fraudulent in financial reporting over two years in a row will . . .

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