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  "documentTitle": "NQ Mobile (NQ)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2013-12-19 00:00:00",
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  "notes": "The slide uses specific company examples to undermine the credibility of independent committees in the context of Chinese issuers.",
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      "kind": "callout",
      "text": "Investors have lost approximately 95% of their equity investment since the announcement.",
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      "text": "Stock price performance chart for China Agritech, Inc.",
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      "text": "In November 2011, a short seller publicly accused the company of falsifying its financial statements... The company also reported “Daniel Tseung, Chairman of the Audit Committee, stated...",
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      "text": "On December 11, 2011, the independent committee's investigation rejected fraud allegations... Investors have lost approximately 95% of their equity investment since the announcement.",
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      "text": "There are numerous other examples of independent committee dysfunction – especially with China issuers – including the following instances:",
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      "text": "\"With specific regard to the [short-seller] Report, the Committee concluded that the allegations were either factually incorrect or that there were reasonable explanations as to their non-materiality.\" — China Agritech, Inc. press release. \"FTI independently obtained and reviewed documents which state that as of June 30, 2011, ChinaCast had cash, cash equivalents and term deposit balances reported in the Company's form 10-Q for the second quarter ended June 30, 2011.\" — ChinaCast Education Corp. press release. \"We believe the findings contained in the FTI report should provide some comfort to shareholders as to the integrity of the Company's financial reporting and should serve to distinguish the Company from other Chinese companies that have received adverse publicity after failing to provide adequate verifications with respect to their financial statements.\" — Daniel Tseung, Chairman of the Audit Committee, ChinaCast Education Corp.",
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