Report: Muddy Waters' Founder To Start A Hedge Fund

According to Reuters, Carson Block has launched a hedge fund investment firm. Block is best known for founding Muddy Waters Capital, a research firm that analyzes and exposes Chinese-based firms that may be engaged in fraudulent accounting practices. One of Block's most publicized research reports focused on Sino-Forest, a Canadian-listed Chinese company. Block argued that Sino-Forest was a "multibillion-dollar Ponzi scheme" that was inflating its earnings. Reuters added that Block has received an initial investment of $100 million and he will continue distributing his free research reports.