In November, the Public Company Accounting Oversight Board announced penalties for violations of U.S. securities laws and PCAOB rules and standards under its first enforcement settlements with mainland China and Hong Kong firms since the passage of the Holding Foreign Companies Accountable Act.

Maria L. Murphy, CPA, is a regular contributor to Compliance Week. She is a senior content management analyst, accounting and auditing products, CCH tax and accounting North America for Wolters Kluwer....