SH forum crisis

Blog : shanghai 6677 forum crisis
The situation is quite similar to what happen to my taipei forum : doing biz with each other , of course , there are some difference ! This time on the development , I can see the damage will ripple gradually .
The crisis burst out on the emergency forum trigger on Sep 7 , the day I check in banyan tree resort yunnan ! An realh winsen for gathering in the early morning , I can't be there but would never know the crisis I goes so deep!
Forum brother beside me and jack gathering and decide not to jeperprise to business as the bail out cash is high up to 120 millions RMB : almost 600 millions NT ! Nevertheless , all the forum brother disclose their borrowing and investing to Q - the trouble maker in crisis ! I wasn't their and feel less about the crisis until the day we had forum : sep 11th.
W went so deep that I'd Q can't return the fund, he will soon go bankruptcy . J invert close to 100 Millions NT , JW for 5 millions . W along account for 800 millions : 500 from loan shark with a 24% annual interest rate !
Hear after is the fact I collect
1. Q first met Bo school president via M, he immediately ask for investment
2. JE invest packaging company with high cost and low revenue , he suspend it, but for the raw material wholesaler his 10 million RMB invest is in risk
3. W invest in 2 company : parent for 13 millions RMB for list prepare , 1.6 E RMB for the wholesale with no cash at all : only product
4. J invest 19 millions as a minor shareholder , his feeling I Q did not tell the truth at the beginning
5. Postpone of ipo for many times and stop talk about it at forum
6. Not focus on main biz but for real estate and mining biz with government connection
7. Produce a no realistic profit in 2010 aim for a higher PE ratio when ipo
8. Halo effect force Q push for relevant trading and touch the edge of legal issue
It all lead to a leverage trust and brotherhood for his own interests and ipo make his no turning back road