Company: GVH
Filing Date: 2025-02-12
Form Type: 20-F
Source: 0001493152-25-006117
Chunk: 33

Company: Globavend Holdings Ltd
Filing Date: 2025-02-12
Form: 20-F
Item: Item 3
Chunk 33
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 regardless of whether these executive or legislative actions are implemented
and regardless of our actual operating performance. The SEC is assessing how to implement other requirements of the AHFCAA, including
the listing and trading prohibition requirements described above. Future developments in respect to increasing U. S. regulatory access
to audit information are uncertain, as the legislative developments are subject to the legislative process and the regulatory developments
are subject to the rule-making process and other administrative procedures.

The recent joint statement by the
SEC, proposed rule changes submitted by Nasdaq, and an act passed by the U. S. Senate and the U. S. House of Representatives all call for
additional and more stringent criteria to be applied to emerging market companies. These developments could add uncertainties to our
offering, business operations, share price, and reputation.

U. S. public companies
with substantially all of their operations in China (including in Hong Kong) have been the subject of intense scrutiny, criticism, and
negative publicity by investors, financial commentators, and regulatory agencies, such as the SEC. Much of the scrutiny, criticism, and
negative publicity has centered on financial and accounting irregularities and mistakes, a lack of effective internal controls over financial
accounting, inadequate corporate governance policies, or a lack of adherence thereto and, in many cases, allegations of fraud.

On December 7, 2018,
the SEC and the PCAOB issued a joint statement highlighting continued challenges faced by the U. S. regulators in their oversight of financial
statement audits of U. S.-listed companies with significant operations in China. On April 21, 2020, SEC Chairman Jay Clayton and PCAOB
Chairman William D. Duhnke III, along with other senior SEC staff, released a joint statement highlighting the risks associated with
investing in companies based in or that have substantial operations in emerging markets, including China, reiterating past SEC and PCAOB
statements on matters including the difficulty associated with inspecting accounting firms and audit work papers in China and higher
risks of fraud in emerging markets and the difficulty of bringing and enforcing SEC, Department of Justice, and other U. S. regulatory
actions, including in instances of fraud, in emerging markets generally.

On May 20, 2020, the
U. S. Senate passed the HFCA Act requiring a foreign company to certify it is not owned or controlled by a foreign government if the PCAOB
is unable to audit specified reports because the company uses a foreign auditor not subject