China garbage companies on the Singapore exchange

Chinese comedy...

China Gaoxian Fibre Fabric Holdings is the latest Singapore-listed Chinese firm to report accounting inconsistencies. The Zhejiang-based maker of polyester yarn said last month its auditors at PricewaterhouseCoopers discovered the company's bank balance should be less than a tenth of the 1.1 billion yuan (HK$1.32 billion) it reported in its earnings."The exchange's sanctions are limited to reprimand, suspension and delisting," DMG's Tan said. "A share suspension is very frustrating for investors and they're held hostage. In a delisting, they could be staring at negative returns."In the case of FerroChina, shareholders lost their entire investment when the steelmaker was forced to delist in March 2010 after being suspended for over a year. The company, which hired Merrill Lynch in April 2008 as an adviser, defaulted on loans in October of that year, weeks after reporting quarterly net income had tripled.Other stocks that have been suspended include Sino Techfibre, which said a fire destroyed its financial records after reporting accounting flaws, and China Sun Bio-Chem Technology Group, which said a truck transporting its accounting records was stolen.

Increased Complaints about HK Police

This is where the cops can legally stop any citizen on the streets and perform a search on the pretense of investigating a crime or if they suspect a crime is about to be committed. They can then plant evidence.

Real Gold 0246.HK

Here's another fetid diseased company listed on the HKEX, (Charles Li, where are you?). Oh yes, the auditor is Deloitte.

"Wu Ruilin, the controlling shareholder of Inner Mongolian miner Real Gold Mining, pledged a key subsidiary of the listed company as security on loans for some of his private businesses.
Even though he does not own all of Real Gold or sit on its board, Wu signed documents that posted Fubon Industrial, the vehicle holding all of Real Gold's mines, as security for a 240 million yuan (HK$288 million) borrowing facility with Shanghai Pudong Development Bank last October.

The pledge, which was disclosed by Fubon in filings with the mainland's State Administration of Investments and Commerce (SAIC), meant Shanghai Pudong bank may have been able to seize Real Gold's mines if Wu's private companies - part of his telecommunications-to-mining conglomerate Cosun Group - failed to repay their loans."

Donald Tsang and HK Property

This dangerous clown decides he wants to maintain a free market economy yet only wants to partially destroy the property market.

"We will do more to slow it down," he said. "But we believe in the market, though. We don't want to do anything that would destroy the market completely."

Hkex's CEO Charles Li Delusional

Matters in the HKEX are obviously dire when the esteemed CEO of the whorehouse manages to utter gems like this...

"The U.S.-listed Chinese companies running into accounting problems would not have been able to list in Hong Kong, Hong Kong Exchanges and Clearing Ltd (0388.HK) Chief Executive Officer Charles Li told cable network CNBC on Friday."


The fool should take some time to read about the frauds in his whorehouse happening under his watch.... Ocean Grand, Fuji, Chaoda, First Natural, Akai, ...

He follows it up with more pungent garbage:

"He added that while the U.S. exchanges are disclosure-based, the Hong Kong Exchange is prescriptive, requiring companies to do certain things before they list"

How was the IPO application of Resourcehouse approved when it had never had profits?

Resourcehouse cancelled, Chaoda plumbing depths

As expected Resourcehouse IPO has been pulled.

Chaoda, despite the apologists and the frantic share buybacks by it's management continues to sink. It wouldn't be presumptuous to say ALL public Chinese companies are fraudulent, and US companies would have a certain degree, however the level of fraud in Chinese companies is high. When investing in China, assume there is fraud and check the Margin of Safety:

- Is it a large enough company to garner enough attention from the government?
- Will management fraud, result in bullets to their heads?
- Will the company survive such fraud?

The list of Chinese companies that have been decimated by fraud with the management escaping scott free is long and getting longer... First Natural Holdings, Fuji, China Forestry, Yunan Green-Land, ..

Life is cheap in HK

An airline pilot. Leung Chiu-yu (Cathay Pacific) who killed a four-year-old boy on a pedestrian crossing was fined HK$4,000 yesterday.

Judge: Kevin Browne