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  "documentTitle": "Focus Media Holding Ltd. (FMCN)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2011-11-21 00:00:00",
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  "notes": "The slide uses investigative evidence (SAIC filings, CCTV interview) to argue that FMCN fabricated acquisitions to justify write-downs.",
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      "text": "It seems that only a company looking for write-downs would have written these businesses down to zero.",
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      "text": "Net Income: $18.0 million",
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      "text": "The advantage to be gained by changing the date in the 2009 20-F would have been to hide the fact that FMCN had not paid any consideration for Yitong at the time it wrote the acquisition off in 2008.",
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      "text": "On the other hand, facts surrounding the one mobile company that FMCN did acquire and keep, Dotad Media Holdings Limited (“Dotad”), suggest self dealing or other impropriety on the part of FMCN management. Dotad is a SMS advertising company that FMCN acquired in March 2006. Dotad’s CEO under FMCN, Xu Maodong, took",
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      "text": "FMCN's 2007 filings further show that FMCN never acquired these companies. FMCN does not list any of these six companies in subsidiary list of its 2007 20-F; however, it does list two mobile companies we confirmed FMCN did acquire as subsidiaries. Further, the absence of any commentary about the acquisitions as being a reason for the increase in mobile advertising revenue in 2007 in any of the quarterly 6-K filings or the 2007 20-F is conspicuous. According to these seven companies' SAIC files, they generated combined 2007 revenue of $18.0 million, which was 38.4% of FMCN's 2007 mobile advertising revenue.",
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      "text": "Even if FMCN had acquired these six companies in 2007, it would have had no basis to dispose of them for zero consideration. Per the SAIC financial statements (summarized below), the phantom acquisitions generally did well in 2008 compared to 2007. It seems that only a company looking for write-downs would have written these businesses down to zero.",
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      "kind": "quote",
      "text": "The reporter came to Shenzhen Julan Information Technology Co., Ltd. The special assistant to the General Manager received us. The reporter asked, “Do you have any relationship with Focus Wireless?” The special assistant to the General Manager replied “No relationship.”",
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      "text": "The reporter came to Shenzhen Julan Information Technology Co., Ltd. The special assistant to the General Manager received us. The reporter asked, “Do you have any relationship with Focus Wireless?” The special assistant to the General Manager replied “No relationship.” — CCTV program",
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      "kind": "source-note",
      "text": "91 Beijing Focus Media Wireless Co., Ltd. & Beijing Yitong Wireless Information Technology Co., Ltd. 92 http://www.cctv.com/program/jjbxs/20080323/100133.shtml",
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      "text": "Mobile Entities Financial Results (US$)",
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