Core Viewpoint - The article discusses the recent announcement by the Ministry of Finance regarding the cancellation of securities service business registrations for several accounting firms, notably Ruihua and Asia-Pacific, due to their involvement in financial fraud cases and lack of diligence in their duties [1][2]. Group 1: Cancellation of Registrations - On May 30, the Ministry of Finance published a list of accounting firms that have voluntarily applied for the cancellation of their securities service business registrations, including Ruihua and Asia-Pacific [1][2]. - The cancellation is a result of the firms' involvement in significant violations and financial fraud cases, leading to their decline in reputation and business [2][3]. Group 2: Background of the Firms - Ruihua was once ranked sixth in the industry and second among domestic firms, but it now has only two registered accountants and has been restricted from consumption due to a lack of executable assets [3]. - Asia-Pacific faced severe penalties last year, resulting in a 12-month suspension from business operations, marking the longest suspension for an accounting firm in recent years [3]. Group 3: Regulatory Changes - The cancellation of registrations is the first action taken under the newly revised "Management Measures for the Registration of Accounting Firms Engaged in Securities Services," which was updated in April [4][5]. - The revised measures include a new section on "registration verification, announcement, and cancellation," specifying seven scenarios under which a firm's registration may be canceled [5]. Group 4: Future Implications - The cancellation of a firm's registration does not permanently exclude it from the securities service sector, as firms can reapply for registration in the future under the initial registration rules [6].