Deloitte Touche Tohmatsu News

A corporate law expert says the collapse of Hastie Group points to "very significant failures" in the governance of the engineering services company that are unlikely to be limited to one division.

The auditor for a Chinese firm whose collapse helped spark the current confidence crisis for US-listed China stocks is refusing to hand over related documents to government investigators probing the case, capitalizing on mistrust and lack of cooperation between the US securities regulator and its Chinese counterparts to impede the investigation.

After struggling for two years to get its hands on auditing documents for a Chinese company listed in the U.S., the Securities and Exchange Commission is ratcheting up the pressure on the Chinese arm of Deloitte LLP.