Take, for example, SinoTech Energy Ltd., a Beijing-based company incorporated in the Cayman Islands in order to trade on the Nasdaq, according to federal records. In November 2010, it issued a $168 million initial public offering underwritten by investment banks UBS AG, Citigroup Global Markets and Lazard Capital Markets.
The banks helped SinoTech with SEC filings, including the initial registration statement and prospectus. For its first annual report, SinoTech enlisted Ernst & Young, one of the world's "Big Four" accounting firms.
SinoTech, billing itself as "a fast-growing and profitable provider of enhanced oil recovery" in the People's Republic, foresaw a bright future. By December 2010, it reported a quarter-to-quarter profit increase of more than 100 percent.
Ernst & Young is the fraud covering up the inconsistancies in Baidus' balance sheet!They under threat of being deregistered as a Chinese auditor due to their failure of turning over proper documents pertaining to not only Sino Forrest but Baidu as well!
This news seems to be troubling.I am starting to see how there is little retail holders here.The one or two posters who say they are long add nothing of substance and seem to be working for the distributing institutional holders of this stock!
Not troubling if you are short the stock.I have been holding short from 155 and will be very happy in the comming months.
Not here for the short term.I will see this fraud to the end just like many many in the past.The supposed longs here hold no stock and are simply here to suck retail holders into this and many other frauds!!~!~!