Tuesday, December 25, 2007

Chinese companies may have to reveal environmental information to the public


The State Environmental Protection Administration (SEPA) is attempting to force Chinese companies, both listed and those waiting to be, to regularly reveal environmental information to the public.

Disclosure rules for listed companies could be finalized in the next six months, Ge Chazhong, an official affiliated with SEPA, told China Daily.

Environmental disclosure and inspection requirements have already been tightened for companies applying for their initial public offer (IPO) of shares.

Companies going public are required by China's existing securities regulations to guarantee disclosure of truthful environmental details together with financial records in IPOs 36 months prior to floating.

Deliberate or premeditated cover-ups risk administrative penalty and criminal conviction, according to regulations enacted in May 2006.

See full Article.