Dundee Says Muddy Waters Pre-Marketed Sino-Forest Report To Hedge Funds
According to analyst Richard Kelertas of Dundee Securities, Muddy Waters Research, the short-selling firm that has uncovered a number of frauds in the Chinese reverse merger space, pre-marketed its bearish report on Sino-Forest Corp. (TSE:TRE) prior to releasing it to the public.
This report has destroyed Sino-Forest, with the stock falling more than 78% since last Thursday. According to reports, the research was pre-marketed for five weeks prior to its release. The stock hit a 52-week high of $25.85 on March 31, and was trending downwards in the weeks before its death spiral in the wake of the Muddy Waters report.
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