Company: APM
Filing Date: 2025-04-30
Form Type: 20-F
Source: 0001213900-25-037669
Chunk: 58

Company: Aptorum Group Ltd
Filing Date: 2025-04-30
Form: 20-F
Item: Item 3
Chunk 58
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 which contained, among other things, an identical provision to the Accelerating Holding
Foreign Companies Accountable Act and amended the HFCAA by requiring the SEC to prohibit an issuer’s securities from trading on
any U. S stock exchanges if its auditor is not subject to PCAOB inspections for two consecutive years instead of three, thus reducing the
time period for triggering the prohibition on trading. If our auditor cannot be inspected by the Public Company Accounting Oversight Board,
or the PCAOB, for two consecutive years, the trading of our securities on any U. S. national securities exchanges, as well as any over-the-counter
trading in the U. S., will be prohibited. On September 22, 2021, the PCAOB adopted a final rule implementing the HFCAA, which provides
a framework for the PCAOB to use when determining, as contemplated under the HFCAA, whether the PCAOB is unable to inspect or investigate
completely registered public accounting firms located in a foreign jurisdiction because of a position taken by one or more authorities
in that jurisdiction. On December 2, 2021, the SEC issued amendments to finalize rules implementing the submission and disclosure requirements
in the HFCAA. The rules apply to registrants that the SEC identifies as having filed an annual report with an audit report issued by a
registered public accounting firm that is located in a foreign jurisdiction and that PCAOB is unable to inspect or investigate completely
because of a position taken by an authority in foreign jurisdictions. On December 16, 2021, the PCAOB issued a report on its determinations
that it is unable to inspect or investigate completely PCAOB-registered public accounting firms headquartered in mainland China and in
Hong Kong, because of positions taken by PRC authorities in those jurisdictions, which determinations were vacated on December 15, 2022.

On August 26, 2022, the PCAOB
announced that it had signed a Statement of Protocol (the “ SOP”) with the China Securities Regulatory Commission and the Ministry
of Finance of China. The SOP, together with two protocol agreements governing inspections and investigations (together, the “ SOP
Agreement”), establishes a specific, accountable framework to make possible complete inspections and investigations by the PCAOB
of audit firms based in mainland China and Hong Kong, as required under U. S. law.

On December 15, 2022, the
PCAOB announced that it was able to secure complete access to inspect and investigate PCAOB-registered public accounting