It really shouldn't matter what a public officials prior employment, often domain expertise is often a good or necessary thing. But it unfortunately seems to be a recurring problem worth investigating. There should be some conflict of interest rules around anything related to your former employers. Only if they were previously high up at the company, of course.

The DoJ and other state legal offices have rules about excusing prosecutors from cases but this one seems to not be seen as an issue at these regulatory and broader judicial agencies.

This should matter considering the US is disparaging China for having private companies backed by the powerful government bodies, operating under a different set of rules than everyone else.