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I'm reading the raw report - https://www.mmt.gov.hk/files/Evergrande_Report.pdf https://www.mmt.gov.hk/files/Evergrande_Report.pdf It looks like Left's concern
by hnfong 3y ago
I'm reading the raw report - https://www.mmt.gov.hk/files/Evergrande_Report.pdf https://www.mmt.gov.hk/files/Evergrande_Report.pdf
It looks like Left's concerns were largely legitimate, but he wasn't familiar enough with the standard accounting and industry practices that the authorities were able to nitpick details he got wrong, and he probably used a bit of hyperbolic tone to describe the real concerns about the Chinese property market.
The problems with the Chinese property market isn't "accounting fraud" as alleged because everybody is doing it in the open, I guess.
I think Left's main "fault" was that he shorted the stock, triggered a small panic, and profited from the deal. I mean, that's market manipulation unless the allegations are true, and it really is unfortunate that when it comes to truth, it's more like "what I said might be technically wrong, but I'm telling the truth!"
- futhey 3y agoHe profited from the panic, not the eventual failure of Evergrande. So the court ruled in accordance with the intent of the law. If they were legally insolvent back then and his information forced them to immediately declare bankruptcy, this short would have been above board.