Company: DDC
Filing Date: 2025-07-22
Form Type: F-3
Source: 0001213900-25-066338
Chunk: 5

Company: DDC Enterprise Ltd
Filing Date: 2025-07-22
Form: F-3
Chunk 5
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16, 2021, the
United States Public Company Accounting Oversight Board, or PCAOB, issued a Determination Report which found that the PCAOB is unable
to inspect or investigate completely registered public accounting firms headquartered in: (i) China, and (ii) Hong Kong. Enrome LLP, our
auditor, is not identified in the 2021 PCAOB Report as a firm subject to the PCAOB’s determination. While our auditor is headquartered
in Singapore and is registered with PCAOB and subject to PCAOB inspection, in the event it is later determined that the PCAOB is
unable to inspect or investigate completely our auditor because of a position taken by an authority in a foreign jurisdiction On August
26, 2022, the PCAOB announced that it had signed a Statement of Protocol (the “Protocol”) with the CSRC and the Ministry of
Finance (“MOF”) of the People’s Republic of China, which governs inspections and investigations of audit firms based
in mainland China and Hong Kong. Pursuant to the fact sheet with respect to the Protocol released by the SEC, the PCAOB shall have independent
discretion to select any issuer audits for inspection or investigation and the unfettered ability to transfer information to the SEC.
According to the PCAOB, its December 2021 determinations under the Holding Foreign Companies Accountable Act, or HFCAA, remain in effect.
On December 15, 2022, the PCAOB announced that it was able to secure complete access to inspect and investigate PCAOB-registered public
accounting firms headquartered in mainland China and Hong Kong in 2022, and the PCAOB Board vacated its previous determinations that the
PCAOB was unable to inspect or investigate completely registered public accounting firms headquartered in mainland China and Hong Kong.
It is possible when the PCAOB may reassess its determinations in the future, and it could determine that it is still unable to inspect
or investigate completely registered public accounting firms in mainland China and Hong Kong. On December 23, 2022 the Accelerating Holding
Foreign Companies Accountable Act (“AHFCAA”) was enacted, which 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. On December 29, 2022, a legislation entitled “Consolidated Appropriations Act, 2023” (the “Consolidated