CSRC releases findings of IPO inspection

The China Securities Regulatory Commission has finalized a special inspection that began at the end of 2012 of the financial reports of companies that applied for initial public offerings, with more than 30 percent of those companies asking to cancel their IPO applications during the inspection period, a CSRC spokesman said on Friday.

The regulator said that 622 companies submitted self-inspection reports and that 268 companies withdrew their IPO applications.

During on-site inspections, sponsor institutions were required to provide original financial documents, and even flight tickets, to prove they had carried out the proper level of due diligence, and to ensure the accuracy of financial details.