SSE issues guidelines on company audit committees
The Shanghai Stock Exchange (SSE) recently issued the Guidelines for the Operation of Audit Committees of the Board of Directors of Listed Companies.
The Guidelines contain six chapters and 39 articles and highlight the principles of independence and professionalism. They require that audit committees, within the scope of their duties, provide deliberated opinions to the board of directors of listed companies. In addition, if such opinions are rejected by the board of directors, the listed company must disclose the matter and provide explanations.