While Sino Forest defends itself against accusations of fraud, it is hamstrung by a critical weakness: it is either unable or unwilling to identify the trading partners at the heart of its business.
Carson Block, the face of research group Muddy Waters, accused Sino Forest in a report of overstating its assets and routing money through intermediaries to defraud investors.
Sino Forest claims there are errors in the report and has released documents in an attempt to show it owns the assets it claims.
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