The best way forward for the company is to be transparent. To prevent further damage to its reputation is to get the external auditor to verify its accounts and cash in the bank. Annouce it and leave the share price fluctuation to SGX to investigate as they are in the best position to view the trading books. The main responsibilty as a listed company is accountability and transparent in its operations and not to investigate how shareholders trade its shares. Its role is to find fault in its operations and accounts and not to find fault how stock prices should moves. The latter role belongs to exchanges watchdog.
How can this happen ? Company now into Suspension after listed in SGX for less then 2 years and KRX less than 2 mths .....: (
Thought they have a honest CEO, if really the money gone with the wind, must be a "mother of all con job" . . .
Hope SGX really do something, help Singaporean investors to get back some money, find out also who sold down during this Monday afternoon, information must have leaked from somewhere, who are the big sellers ????
Total lost confident with all China counters....
I agree with you, definately there are insider leakage of info to certain privilege persons that caused a big sell down. Then the company acts blurr saying they will 'investigate' on the unusual price drop. 2ndly, how it managed to bypass KRX scrutinisation of its dual listing documentation recently unless KRX is lax on its listing requirement ! A big con act !
Hmm.....so only the "privileged" get the "insider" news; nice one.
Who decides who's "privileged" anyway?? Sorry guys just venting, as you might've gathered lost $$$$ on this one.
Anyways any seniors out there care to shed some light on the probability if any of this counter resuming trade? Or the steps needed for it to do so?
Honestly can't see the light at the end of the tunnel.
Rgds.
Not vested in Gaoxian or Hongxing but the 1 small consolation I can offer to those that are is that since these 2 companies appointed Ernst and Young as their auditor, I don't think there was any outright intention to deceive on the part of the Chairman and Upper Management.
The current issues are more due to the lax management/lack of supervision over their subsidaries, after all it is their subsidaries for which E & Y cannot verify their cash balances.
If the Chairman and Upper Management intended to deceive outright, I would think they would have appointed some unknown unrecognized auditor that was in it with them, rather than appointing world reknowned E&Y who would scrutinize every nook and cranny and have them exposed in no time!
Since the suspensions are all related to E&Y, it could also be that there is a general difference in expectations between what E&Y expects in terms of corporate transparency and what these firms have offered, and that compiling the required info will take some time and getting through a lot of paperwork.
The appointment of E&Y suggests to me that the current situation is more a result of negligence rather than intention to deceive on the part of the upper management. However, the middle to lower management, ie. the management of their subsidaries, could be involved in some foul play, we don't know.
It's all speculation until we get more news, and it's not technically game over until there is a confirmation of fraud. Wish investors of GX and HX all the best.
ethan999, unlike investors who are hopping mad, you are calm and rational because you dont own GX shares. What you have posted is very intelligent talk! The probability that you are right is very high!
