cross-posted from: https://scribe.disroot.org/post/5614710

Archived version

  • Morgan Stanley is facing scrutiny from the Republican head of the US House China committee over its role in underwriting the Hong Kong initial public offering (IPO) of Zijin Gold International Co.
  • The committee is questioning whether Morgan Stanley performed enough due diligence, given that Zijin Gold’s parent, Zijin Mining Group, is on a US blacklist for allegedly violating restrictions on using forced labor.
  • The request for information from Morgan Stanley is part of a broader review into the involvement of Wall Street banks in IPOs of Chinese companies with known ties to China’s military or past track records of labor abuses.

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