{
  "docId": "019dd923-622c-750b-8b96-9f72f88816eb",
  "docSlug": "2df2f979ea6a",
  "documentTitle": "China Internet Nationwide Financial Services Inc. (CIFS)",
  "authorId": "51_Muddy_Waters",
  "authorName": "Carson C. Block",
  "documentKindSlug": "research-note",
  "documentKindLabel": "Research note",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2017-12-20 00:00:00",
  "orientation": "portrait",
  "aspectRatio": 0.77272725,
  "pageNumber": 13,
  "pageCount": 18,
  "prevPage": 12,
  "nextPage": 14,
  "slideType": "expose_contradiction",
  "function": "expose_contradiction",
  "density": "dense",
  "nDataPoints": 3,
  "notes": "This slide is part of a forensic research report exposing potential fraud in CIFS filings.",
  "elementsJson": [
    "paragraph",
    "footnote"
  ],
  "metadataConfidence": 0.95,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b96-9f72f88816eb/13",
  "deckHref": "/decks/019dd923-622c-750b-8b96-9f72f88816eb",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b96-9f72f88816eb.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b96-9f72f88816eb#slide-13",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "The fact that DZTD Wealth and DZSQ inherited this fairly real P2P lending business from BJ SYX matters because it further shows how blatantly made up CIFS's books are.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-f5d0-745c-bebf-9c953c83c9a3",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.12,
        "w": 0.76,
        "x": 0.118,
        "y": 0.54
      },
      "kind": "paragraph",
      "text": "The fact that DZTD Wealth and DZSQ inherited this fairly real P2P lending business from BJ SYX matters because it further shows how blatantly made up CIFS's books are. The P2P business was THE business at some point in 2015, yet there is no mention in CIFS's filings of it. The closest CIFS seems to come is referencing a “sale of [a] non-operating department” in September 2015.26",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "100887a5-76d0-4367-af10-96be812aa696",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.25,
        "w": 0.76,
        "x": 0.118,
        "y": 0.285
      },
      "kind": "paragraph",
      "text": "Until February 2016, BJ SYX's name was Ding Zhi Tai Da Investment Management (Beijing) Co. Ltd.25 However, the great name of Ding Zhi lives on. Chairman Lin and Huang Shao Yong together own Ding Zhi Tai Da Wealth (Beijing) Financial Service Outsourcing Co. Ltd. (\"DZTD Wealth\"). Huang (who evidently is the \"Ding Zhi\" half of this constellation of entities) co-owns a company called Ding Zhi Sheng Qi (Beijing) Enterprise Management Consulting Co. Ltd. (\"DZSQ\"). DZTD Wealth and DZSQ appear to be the heirs to the business BJ SYX (then called \"Ding Zhi blah blah blah\") was running through 2015. DZTD Wealth and DZSQ together have offices in more than 20 cities. (Our investigators visited offices in four cities.)",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6af3f5cd-7426-48e7-b809-6a07e7e6d903",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.76,
        "x": 0.118,
        "y": 0.092
      },
      "kind": "paragraph",
      "text": "2020.24 We assume that Kashgar SYX is the only entity capable of generating a tax benefit... Kashgar SYX was formed on December 29, 2016... and ratified common sense when it reported to SAIC zero assets, liabilities, equity, revenue, and net income.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6e2b2945-e6cf-432b-95d3-c7564860b2c5",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.2,
        "x": 0.118,
        "y": 0.86
      },
      "kind": "source-note",
      "text": "24 CIFS F1, p. F-14. 25 CIFS 424B4, p. 111. 26 CIFS F1, p. F-19.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b18a9b3a-884e-4ea9-a1d1-c6681906caaf",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.35,
        "x": 0.118,
        "y": 0.253
      },
      "kind": "title",
      "text": "Chairman Lin & Sidekick Huang's P2P Business",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b9a85617-3b1b-46f1-a21a-084d464ebd1d",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "fraud-exposure",
      "slug": null,
      "matchId": "226d5146-a880-45a2-b975-0ee6b7d1a1a7",
      "evidence": "The slide explicitly links corporate entity name changes and hidden business operations to 'blatantly made up' financial filings.",
      "confidence": 0.9
    }
  ],
  "arcBeats": [
    {
      "to": 18,
      "from": 4,
      "beatId": "9d53cc26-322c-42be-b630-1456141bf8df",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "Expose Contradiction",
      "beatSlug": null,
      "evidence": "Multiple sections exposing contradictions in CIFS's financials and business practices",
      "position": 0,
      "confidence": 0.9,
      "parentBeatName": null,
      "parentBeatSlug": null
    },
    {
      "to": 17,
      "from": 4,
      "beatId": "ff490d76-07a0-401e-874a-1e265d193022",
      "arcName": "Overcoming the Monster",
      "arcSlug": "overcoming-monster",
      "beatName": "The Struggle",
      "beatSlug": null,
      "evidence": "Detailed investigation and analysis of CIFS's financials and business practices",
      "position": 2,
      "confidence": 0.9,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}