The Circular of People's Bank of China and the Ministry of Finance on "Tentative Measures on the Engagement of Accounting Firms in Audit Operations Related to Finance

The Circular of the People's Bank of China and the Ministry of Finance on "Tentative Measures on the Engagement of Accounting Firms in Audit Operations Related to Finance

Yin Fa [2000] No. 228

July 14, 2000

All the Branches and Operation Management Departments of People's Bank of China, Policy Banks, the wholly State-owned Commercial Banks, Financial Asset Management Companies, Joint-stock Commercial Banks, Non-bank Financial Institutions Under the direct Supervision of the Head Office of People's Bank of China, the Finance Departments (Bureaus) of Provinces, Autonomous Regions and Municipalities Directly Under the Central Government, and Shenzhen Finance Bureau:

With the goal of strengthening the supervision and administration on financial institutions and giving full play to the role of accounting firms in visa and services, People's Bank of China and the Ministry of Finance jointly formulated "Tentative Measures on the Engagement of Accounting Firms in Audit Operations Related to Finance", which shall be printed and distributed to you for implementation.

The "Measures" shall be applicable to the foreign-funded banks. Where the "Measures" provides no stipulations, the original provisions shall be applied.

The Branches and Operation Management Departments of People's Bank of China shall transmit the document to the foreign-funded banks, the urban commercial banks, the non-bank financial institutions regulated by the branches, the urban credit cooperatives and its associations, and rural credit cooperatives and its associations.

The Associations of Certified Public Accountants of all provinces, autonomous regions, municipalities directly under the Central Government shall transmit the document to the accounting firms under their own jurisdictions.

Appendix: "Tentative Measures on the Engagement of Accounting Firms in Audit Operations Related to Finance"

Article 1 For the purpose of strengthening the supervision and administration of financial institutions, protecting the public interest and giving full play to the role of accounting firms in visa and services, the "Measures" is enacted according to "the Law of the People' s Republic of China on Certified Public Accountants", "The Law of the People's Republic of China on the People's Bank of China" and other relevant laws and regulations.

Article 2 The alleged financial institutions in this "Measures" shall be referred to the policy banks, state-owned commercial banks, financial asset management companies, joint-stock commercial banks, foreign-funded banks, urban commercial banks, trust and investment companies, the financial companies of enterprise group, financial leasing companies, urban credit cooperatives and its associations, rural credit cooperatives and its associations, and other financial institutions, which have been approved by the People's Bank of China and established in accordance with the laws in the People's Republic of China.

Article 3 The audit operations related to finance alleged in the "Measures" shall be the following entrusted operations engaged in by the accounting firms:
1.
　　......