Monday, April 20, 2009

China Sky One Medical Attracts Skepticism

China Sky One Medical (CSKI) has attracted some serious skepticism from Asensio. He has issued two negative reports taking issue with the accuracy of financial statements. Once you do not believe the numbers what is there to believe in? China Sky has had problems filing a good 10-K because of non cash issues relating to escrowed shares.

The investor relations firm that China Sky uses is an outfit called CCG. Started by Crocker Coulsen with offices in New York, London, Los Angeles and a client list from all over the world. Looking at CCG's web site you find the very interesting sentence.

"Our offices in New York, Los Angeles and Hong Kong have established partnerships with local investment institutions." What kind of partnerships are we touting here? Which financial institutions agree to partner with an investor relations firm? Just how do these things work? Anyone?