Ali IPO Was Approved By The US Regulatory System Without Suspense.

< p > although a federal commission in the United States has issued a police report, Alibaba group, the largest Internet retailer in the world, may bring "significant" risks to investors in the United States. However, from the reaction of the securities regulatory body, the US Congress, cabinet ministers and even competitors, the parties have shown a collective attitude towards this kind of "risk".

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< p > for Alibaba group, the "threshold" that must be crossed before the IPO listing is the SEC, which has never shown the intention of refusing to approve Alibaba listing.

Alibaba group is likely to be listed on the New York stock exchange in the first place next month, and its funding may reach $20 billion.

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Less than P, no matter whether the federal government led by Barak Obama Obama (Barack Obama) or the competitors whose sales are dwarfed by the Alibaba group, such as Amazon and eBay, have chosen to ignore the shortcomings of Alibaba group's corporate structure, accounting issues and allowing the sale of counterfeit goods.

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< p > "this will be a IPO paction which marks a turning point."

Anant Santram, Anant Sundaram, a business management expert at Dartmouth Tucker business school.

"Why is it that no one in the US trade representative, the US Department of Commerce or some of the parliamentary regulators has squeamstruck?"

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< p > < strong > rare voice of doubt < /strong > < /p >.

< p > earlier this week, a rare doubt came from the < a href= "//www.sjfzxm.com/news/index_c.asp" > the US < /a > Parliament.

Robert Casey, a member of the Senate Finance Committee from Pennsylvania, asked the US Securities and Exchange Commission to explain how it will respond to a risk, that is, for Chinese companies with such corporate structure as Alibaba group, investors will face risks when buying their shares.

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Casey, who wrote to the securities and Exchange Commission in July 8th, pointed out: "American investors who buy Chinese companies are often unable to enjoy protection and judicial guarantees equal to those invested in US companies". P

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< p > the reason why Alibaba group can avoid the US government's radar is more than one reason.

First of all, although Alibaba group has a budding retail business in the US market, the group emphasizes that its focus is on the undeveloped e-commerce market in China, thereby avoiding the "fire" of its competitors.

At the same time, the Alibaba group is also cracking down on the sale of fake and shoddy goods on its website, thereby smoothing down the relevant allegations of the US government.

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The enterprise structure of the group < p > a href= "//www.sjfzxm.com/news/index_c.asp" > Alibaba < /a > is controversial. However, the group has designed another version of the enterprise structure that minimizes the risks that investors may face.

In short, Alibaba group has almost no reason to face regulatory hurdles, since the securities and Exchange Commission has endorsed the same corporate structure design in dozens of IPO pactions since 2000.

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< p > < strong > > a href= "//www.sjfzxm.com/news/index_c.asp" > Staff Review < /a > /strong > /p >

< p > the securities and Exchange Commission's approval process for the Alibaba group IPO prospectus will be launched after a round of staff review without the need for all five members of the committee to vote.

The purpose of such a review procedure is not to make judgments on the IPO paction itself, but to ensure that investors have received warnings related to all risks.

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< p > "to a large extent, the federal system is a worthless regulatory system."

David Martin, a former head of the corporate finance division of the securities and Exchange Commission and a partner at the Covington & Burling law firm in Washington, D.C., said (David Martin).

"In fact, the position is that you can sell anything you want, as long as you accurately disclose the relevant information."

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P Ashley spokeswoman Ashley Zandi (Ashley Zandy) said it could not comment on the reason that the group was in the middle of IPO's previous silent period.

According to the regulations, Alibaba group has listed various risks in its prospectus documents submitted to the securities and Exchange Commission of the United States, including warnings about the pparency of its audit system, and the possibility that Chinese regulators may question the legality of their corporate structure.

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