Sunday 10th September 2023

Dear Reader,

Well it's been 14 months since the last newsletter and surprise, I am still here, 3 years and 4 months post-diagnosis. Metastatic prostate cancer will likely still be on my death certificate and each year has been harder than the one before, but I remain functional enough for a bit of activism in this, the 25th anniversary year of Webb-site.com. Having just turned 58, I now live and breathe to make it to 60 and get the JoyYou Card, if the Government can still afford to subsidise affluent people just because they are deemed old.

NEW ARTICLE
An open letter to the Board of Allan International Holdings (0684.HK)
(10-Sep-2023)

WEBB IN THE MEDIA
Webb on "Backchat" re the HK stock market and how to fix it
RTHK, 29-Aug-2023

IN OTHER NEWS
Court appoints administrators for Vantage New Generation Securities Ltd
SFC, 6-Sep-2023
We note that according to a Restriction Notice issued on 7-Jun-2023, the SFC suspects misappropriation of client assets.

MOG Digitech (1942): investigation into dealings in its shares
Company announcement, 31-Aug-2023
The "enforcement authorities" are almost certainly the SFC and ICAC, which on 29-Aug-2023 announced an investigation into suspected market manipulation of 2 unnamed stocks.

Sanction of Mr Tse Ke Li, ex-ED of Global Mastermind (8063)
SEHK, 30-Aug-2023
For undisclosed "acquisitions" which were never identified and cash withdrawal from a subsidiary, leading to a loss of HK$58.7m.

Centurion ZD CPA Ltd, Chan Kam Fuk & Ling Chun Kwok fined total HK$700k
Accounting & Financial Reporting Council, 29-Aug-2023
Relating to goodwill accounting for an acquisition in the 2016 audit of China Infrastructure Investment (0600). In our view, goodwill assessment should be left to the market, not directors and auditors, as it seeks to value the future. Every day, markets reach their own view on the future. Goodwill accounting, written into standards by the profession, is a gravy train for auditors and valuers. An identical business, built organically and not through acquisition, would have zero goodwill in its balance sheet.

Alliance International Education Leasing (1563): investigation
Company announcement, 29-Aug-2023
"Relevant regulatory authorities" are probably the ICAC and SFC, based on their joint announcement.

SFC and ICAC joint operation against suspected market manipulation syndicate
SFC, 29-Aug-2023
Involving ramps in the shares of 2 unnamed listed companies. We can tell you that one is Alliance International Education Leasing (1563), where the bubble has already burst, and the other is probably MOG Digitech (1942), which is still in a bubble. The SFC has issued Restriction Notices issued to 6 brokers to freeze certain client accounts.

And much more besides...
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David M. Webb
Editor, Webb-site.com