May. 02, 2021
Dear SEC Staff, We are submitting comments in respect of S7-03-21 - Holding Foreign Companies Accountable Act Disclosure for a client on an anonymous basis. Kindly find the comments below: 1) We believe that the matters addressed in the Holding Foreign Companies Accountable Act regarding audit inspections are best resolved by discussion between the SEC, PCAOB and their regulatory counterparts in other jurisdictions rather than by legislative instrument. The Company for which we are acting is listed on multiple exchanges including the NYSE and its business spans tens of countries and regions across the world, such that the Company must simultaneously comply with the laws and regulations as well as exchange rules of multiple exchanges and jurisdictions. In audit inspection matters, the Company suggests that the SEC and PCAOB work with regulatory authorities in other jurisdictions and to develop mutually agreed solutions to outstanding issues in order to reduce the cost of compliance with regulatory requirements for listed companies, and to reduce the uncertainties faced by listed companies in respect of conflicting regulatory requirements and policies. 2) The Company respectfully requests that in the process of enforcing the Holding Foreign Companies Accountable Act and developing new disclosure requirements the SEC focus on issues that are important to investors in relation to the business of listed issuer rather than issues of secondary importance that are, in any event, outside of the ability of a listed issuer to control (e.g., conflicting national laws regarding audit inspections). Best Regards, Sandra Xu