United States: U.S. Senator warns of corruption amid opening of Chinese loan market

U.S. Senator Marco Rubio has asked regulators to be vigilant about keeping American investors safe from “hazards” connected with a provision in the latest U.S.-China trade deal that encourages investment in China’s non-performing loan market.

The “Phase One” deal announced in January includes an agreement that allows U.S. financial firms to apply for licenses to acquire non-performing loans directly from Chinese banks.

Such arrangements, especially those with state-owned enterprises, are risky, Rubio wrote in a public letter here to Attorney General William Barr sent on Tuesday. Copies also went to Securities and Exchange Commission Chairman Jay Clayton and top Department of Justice prosecutors.

The full original article can be found at uk.reuters.com

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