Sinotel Tech Rights Issue - For?

SINOTEL: The return of hey-days for Sinotel shares?

www.nextinsight.net/index.php/story-arch...he-return-of-sinotel


Good one!

Sinotel has been bashed down from 37 cents at sstart of 2011. Now recover 2 cents. No big deal.
Even at 22.5 cents, not keen on it.

Ex-market darling. A stock that thoroughly disappointed with its huge receivables, overhyped story & constant cash-raising from the market.

Ex-lover can make a comeback, right? From 11 cents in early Dec 2011 to 24 cents now!
Why ah?

Sinotel announced shock today. that a few key employees of a subsidiary paid out RM105 m fraudulently. Luckily they can trace the money & expect to recover RMb89 m. Goes to show, S-chips can have problems with employees who handle money, not just CEO/CFO cooking the accounts.  Another risk factor. Sinotel didn't explain how come the employees can pay out so much cash in the first place. And didn't explain where the cash went --- whose accounts? All in all,the market will not take this too kindly. The  shortists (stoopid parasites) are smelling blood, I am sure

Sinotel (12.8 cents) is down 24%! It lost 4 cents = S$17 million lost in market cap.

V punishing, as it is 3X the sum not yet expected to be recoverable = only RMB16 million (105-89 = 16 m RMB).