China Survey Shows 10th of Firms Falsified Earnings, Paper Says
Shanghai, Dec. 13 (Bloomberg) -- One-tenth of 320 companies
surveyed by China's Ministry of Finance falsified their earnings
in last year's annual reports, the Shanghai Securities News
reported, citing the ministry.
According to the annual survey, 32 companies inflated their
profits by as much as 1.4 billion yuan ($166 million US) last year,
the paper reported the ministry as saying. The survey covered
companies in the pharmaceutical, textile, airline, metallurgy and
petrochemical sectors.
Beiman Special Steel Co., a maker of hot-rolled alloy steel,
inflated its earnings by 25.9 million yuan, the report said.
China's regulators are stepping up efforts to clean up the
country's financial system amid rising discontent among investors
whose savings, in some cases, have been erased by financial
trickery that sent their stocks plunging.
(c) Bloomberg 2001 |
