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The latest Chinese fraud stock, according to David Little: Sinotech Energy (CTE -23.9%), whose...

The latest Chinese fraud stock, according to David Little: Sinotech Energy (CTE -23.9%), whose "largest customers and suppliers are likely nothing more than empty shells with little or no sales or income." This is not your typical Chinese reverse merger, having been taken public in an IPO by UBS, Citi and Lazard.
Comments (4)
  • Windsun33
    , contributor
    Comments (4254) | Send Message
     
    Yet another reason to stay completely away from 99% of all Chinese stocks.
    16 Aug 2011, 02:41 PM Reply Like
  • dividend_growth
    , contributor
    Comments (2878) | Send Message
     
    Even BIDU could be a fraud in the end:

     

    This is a company incorporated in the Cayman Islands, which only has restricted access to its earning made on Chinese mainland, since RMB is not freely convertible.

     

    Those publicly traded, state-owned companies such as PTR are usually subsidiaries of the Chinese government, and parents usually own the controlling stake in them. They can screw over minority shareholders anytime they want.
    16 Aug 2011, 02:48 PM Reply Like
  • Windsun33
    , contributor
    Comments (4254) | Send Message
     
    At least a few of those Chinese stocks are owned by high ranking generals in the PLA, and I suspect that many are empty shells.
    16 Aug 2011, 04:02 PM Reply Like
  • bigbarry
    , contributor
    Comments (314) | Send Message
     
    Almost all Chinese businessmen are criminals. And like I've said a million times, it will hit the IPOs, not just the RTOs.

     

    Evil evil people.
    17 Aug 2011, 12:16 AM Reply Like
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