Related: (1) Scouring accounting footnotes to prevent tunnelling; (2) Is Your Forward-Looking Statement Safe Harbor Safe? Federal Appeals Court Reverses Dismissal and Revives Securities Fraud Class Action; Harman International Industries knowingly and recklessly propped up the stock price by making materially false and misleading statements about the company’s financial condition. In April 2007, Harman announced its potential acquisition by a private equity firm. In September 2007, however, Harman announced that the acquisition plan had been abandoned. (3) The trouble with non-binding takeover offers that create a false and manipulated ceiling for the target company’s shares which could be pledged or faced margin calls; There are numerous examples of where such buyouts have ended in tatters and some investors getting burnt; (4) Jade’s ex-president jailed and fined over sham takeover bid to push up its share price; (5) China Cord Blood Corp (NYSE: CO) and Golden Meditech (801 HK): Accounting Facts and Footnotes; (6) Taiwan’s MOF asks banks for details of Chinese loans to two troubled Chinese companies – Frankfurt-listed Chinese shoe company Ultrasonic AG whose executives disappeared with the loan and Golden Meditech (801 HK); TSU raises question of insider trading in Golden Meditech TDRs; FSC boss quizzed on Lien’s Golden Meditech TDRs; (7) 脐带血功效被夸大 中源协和 (Zhongyuan Union Cell & Gene: 600645 CH) 核心业务受困; 胎盘脐带血自费存储乱象; 脐带血：是生命种子，还是炒作噱头？“变了味”的脐带血; 脐带血保存，一场骗局? 血疑——上海市脐血库事件调查; Inside the Private Umbilical Cord Blood Banking Business: Wall Street Journal Analysis Found Dirty Storage, Leaky Blood Samples and Firms Going Under

http://www.businesstimes.com.sg/companies-markets/cefc-discussions-on-jvs-still-ongoing

CEFC: Discussions on JVs still ongoing

Cai Haoxiang

19 August 2015

Business Times Singapore

CEFC International, the fuel trader whose share price has shot up by more than ten-fold since mid-July, said in an update on Tuesday evening that discussions on its potential joint ventures are still ongoing.

“No definitive terms or formal legal documentation have been agreed, and no binding agreement in relation to the potential joint ventures has been entered into, at this stage,” said CEO and executive director Lu Da Chuan. “Shareholders and potential investors should exercise caution when trading in the shares of the company, as there is no certainty that the potential joint ventures will be agreed or that any similar transaction will materialise,” he said. Continue reading →

http://www.livemint.com/Companies/JFD1POTNZoXFjTa7Lw25BI/Amtek-unit-bondholders-look-to-move-UK-courts.html

Amtek unit bondholders look to move UK courts

Castex’s bondholders say firm’s stock price was pushed up to force a conversion of FCCBs into equity shares

Amtek’s problems are likely to affect several auto makers, including Maruti Suzuki and Tata Motors. Photo: Bloomberg

Mumbai: Troubles are building up at Amtek Auto Ltd, with bondholders of its subsidiary Castex Technologies Ltd looking to approach UK courts alleging manipulation of the company’s stock price. The bondholders say the stock price was pushed up to force a conversion of foreign currency convertible bonds (FCCBs) into equity shares.

Last week, shares of Amtek Auto fell 57% in response to the stand-off between the company and its bondholders and on fears of a liquidity crunch at the Delhi-based auto component firm. Continue reading →

http://www.koreatimes.co.kr/www/news/biz/2015/08/488_185223.html

Updated : 2015-08-20 21:01

Retail investors to file lawsuit against DSME

By Kim Jae-won

Individual investors will file a compensation lawsuit against Daewoo Shipbuilding and Marine Engineering (DSME) and Deloitte Anjin next month for allegedly committing accounting fraud, a law firm said Thursday.  Continue reading →

TCM, a sick company with no revenues has shot up 291%

TCM was into production of chemicals used in industries. In 2004, it was declared sick and registered with the Board for Industrial and Financial Reconstruction (BIFR). All operations were closed as the net worth of TCM had been fully eroded. TCM has not reported any revenue from operations over the past 12 quarters. It reported an average net loss of about Rs30-Rs40 lakh in each quarter. Yet, over the past seven months, the stock has generated much trading interest. The stock price shot up 291%, to Rs82 on 10 August 2015, from Rs21 on 9 January 2015. Investment in TCM’s shares would have more than tripled in just seven months. On the BSE, trading turnover of the stock surged to Rs2 lakh per day in the first week of August 2015. On an average, the stock has reported a trading turnover of about Rs40,000 per day. Life Insurance Corporation (LIC) of India has a 23.7% stake in the company (currently worth Rs6.61 crore) while New India Insurance holds 1.46%. The insurance companies have remained invested in TCM for over a decade. TCM, with no revenues, has a current market-cap of around Rs28 crore. Will the regulator investigate the suspicious price movement and surge in trading volumes?

http://www.wsj.com/articles/hanergys-high-demands-for-rehabilitation-1439811948

Hanergy’s High Demands for Rehabilitation; Solar firm Hanergy is bringing its profits down to earth, but the next step comes with strings attached

ENLARGE

ABHEEK BHATTACHARYA

Aug. 17, 2015 7:45 a.m. ET

Under regulatory pressure, Hanergy Thin Film Power is bringing down its lofty reported profits. But this once-wunderkind of the solar world may also be trying to pressure regulators into helping it merge with or buy assets from its parent. More than two months after its Hong Kong shares crashed and were suspended, Hanergy warned over the weekend that it could report a loss for the first half of the year. That is hardly surprising. Continue reading →

http://www.scmp.com/print/business/companies/article/1850033/troubled-noble-group-explain-how-its-business-works

Troubled Noble Group to explain how its business works

PUBLISHED : Sunday, 16 August, 2015, 11:58pm

Jing Yang jing.yang@scmp.com

Noble Group will hold an investor conference in Singapore today in another bid to fight off attacks over its accounting practices after endorsement from a second auditor failed to convince markets and detractors last week. Continue reading →

http://www.ft.com/intl/cms/s/0/2364285a-4182-11e5-9abe-5b335da3a90e.html#axzz3irTzEYqZ

Related: Aluminium products maker China Zhongwang hit with book-cooking and fraud allegations; Liu and parties related to him took out some HK$36.5 billion in loans from mainland banks, and used the funds to buy Zhongwang’s aluminium products since 2011. HK$38.5 billion of Zhongwang’s revenues has been “fraudulent sales to Liu-controlled undisclosed related parties”. “If Zhongwang is on the hook for these loans, it could be insolvent.”

August 13, 2015 1:31 pm

Shares in China aluminium group hit despite inflated sales denial

Lucy Hornby in Beijing

Shares in China Zhongwang Holdings slumped 12 per cent on Thursday after trading in the world’s second-largest producer of aluminium products resumed for the first time since it denied allegations of inflated sales in a short sellers’ report. The report by the previously unknown Dupre Analytics accused Zhongwang and Liu Zhongtian, its founder, of routing exports through undisclosed related companies. Dupre alleged this was done to obtain tax rebates from the Chinese government. Continue reading →

http://www.ft.com/intl/cms/s/0/17bc0172-40cd-11e5-b98b-87c7270955cf.html#axzz3ib8V8xw9

Related posts: Fosun’s (656 HK) Folli Follie and the receivables question; receivables were worth 280 days worth of sales at the Hong Kong subsidiary. Add in “advances to suppliers” of $82m and “other receivables” of $39m and the total hit 400 days worth of sales; Focus Media’s Backdoor China Listing Hits Snag; Shell company Jiangsu Hongda New Material being probed by regulators

August 12, 2015 11:36 am

China’s Fosun linked to anti-corruption probe

Patti Waldmeir in Shanghai

Fosun, one of China’s most internationally acquisitive companies, is defending itself against allegations that it sold property cheaply to an executive of a state-owned company who was on Tuesday jailed for corruption. A report in the official Xinhua news agency linked Fosun and its chairman Guo Guangchang, one of Shanghai’s most powerful businessmen, to another corporate leader, Wang Zongnan, the former head of state-owned Bright Food Group who was sentenced to 18 years in jail for embezzlement and bribery. Continue reading →

http://www.scmp.com/print/business/companies/article/1848376/third-hong-kong-listed-firm-accused-inflating-profits

Third Hong Kong-listed firm accused of inflating profits

PUBLISHED : Tuesday, 11 August, 2015, 1:41am

Eric Ng eric.mpng@scmp.com

China Fiber Optic halts trading after Emerson Analytics alleges massive profit overstatement

China Fiber Optic Network System has become the third Hong Kong-listed firm in two weeks to have been accused of cooking its books. The Shijiazhuang, Hebei province-based firm, which makes fibre optic patch cords used in the telecommunications industry, requested the stock exchange halt trading of its shares on Monday morning after anonymous company researchers and short-seller Emerson Analytics published a report targeting China Fiber Optic.

Continue reading →

http://www.businesstimes.com.sg/companies-markets/pwc-report-unlikely-to-be-enough-to-satisfy-market

PwC report unlikely to be enough to satisfy market

R Sivanithy

12 August 2015

Business Times Singapore

AFTER an encouraging early bounce to S$0.645, Noble Group’s shares on Tuesday finished S$0.01 weaker at S$0.57, a disappointing outcome for those who might have been hoping that a positive assurance report by accountants PricewaterhouseCoopers (PwC) on Noble’s accounting practices would have been enough to answer Noble’s critics – namely, Iceberg Research, which issued its first critique in February, short-seller Muddy Waters, which emerged soon after, and former investment banker Michael Dee. Continue reading →