Commentary The world of financial auditing is rarely the center of attention. In fact, most auditors operate under the simple premise that no news is good news. In China, auditing is at the center of a major problem for real estate developers and the Chinese stock markets in Shanghai and Hong Kong. Auditors are required for most companies raising capital on public debt or equity markets anywhere in the world. The auditor’s role is to double-check and confirm companies’ financial statements. Unglamorous and conflictual by definition, the work consists of verifying receipts, cash balances, and vendors to ensure companies’ financial statements present a fair and accurate picture of the corporate finances. Despite the nature of the work, it is vital to maintain confidence in capital markets and ensure that information is transparent. Chinese real estate developers were thrown into deep disarray when one of the major auditors PwC, previously PricewaterhouseCoopers, announced …