wah! XDL shot up 5c to 61.5c/share - must be due to the dealer ship agreement signed with msian distributer per today's announcement. Next AGM must ask CF to distribute CSL products here! - another Q for next AGM.

clleow : Sorry for not getting everything right but we all try to know the co. we put our money in. Hope u can contribute yr findings and if u can shot CSL down with facts and figures, I also cabut leh!.

Datuk: Re the finance charges - need to ask CFO at AGM. Proper forum to address such issues. Not at SGM lor. There is an explanation so don't pass judgement first after that u can't swallow back. Tau kah?.
I guess like Clleow thinks could be some form of trading activities like LC etc etc that adds up to the higher than interest amounts. This is another Q for the AGM guy!

Clleow : yes, I must say many millions shares. I research all companies I invested in. Got to jaga baik baik. I would have sold off if convinced that I will loose more and gain less. That's my investment philosophy. I other shares too but this is higher risk much higher gain type.

Clleow : U have a few questions right. I am free so can answer them for u.
1. Total liabilities is nothing compared with total current and non-current assets : RMB194m to RMB2,686m.
2. Since the subsidiaries are 100% owned , all the revenue, profits etc are consolidated under CSL. No separation of account. Check other Malaysian listed companies with even 70% interest.
3. Whether FKT or RT LLP audits the subsidiaries - pl. see drop box file.

https://dl.dropboxusercontent.com/u/28639210/Screenshot%202014-01-16%2015.22.26.png

U know why sometimes nobody replies ? cos u never bother to read the reports and expects feeding like this.

KSY : Based on past AGM, SGM the turnout by minority and substantial shareholders is so poor that even if u call an EGM assuming u are so rich to own 5%, there is virtually no chance to turning the table on CF and get the cash out. The Chairman will call a poll. and with his share of 23% he can beat all those present at the EGM with above 90% majority - not a very fair voting system right?. IF show of hand, we all will win!!! - but no way CF will do that.

KSY : How much shares do u own? Unless u own 5% and above don't even think abt calling for an EGM. All the doomsayers here got zero shares and u expect them to help u on this? Don't dream.

Correction : the Property, Plant and Machinery(PPE) shot up from RMB284m to RMB321m.

Datuk : U took the bet. Good let's all see the outcome and whether u are really Datuk are Datuk "slipper".

Correction - Yr non-current receivables figures got one extra k.
Of the RMB47,515,000 a large amount of RMB43,908,000 was deposit for machinery plant and machinery. THis has subsequently been transferred to PPE under fixed assets already. THat is why the PPE figures has shot up from RMB321m to RMB284m. The remaining amts are investments for setting up "shop in shop" concept.

https://dl.dropboxusercontent.com/u/28639210/Screenshot%202014-01-16%2013.51.09.png

When a CSL share price falls for weeks or months and then bounces higher, it doesn't mean the downtrend is over. Stock prices can bounce for a lot of reasons. Investors may average down, or other investors may think the price is finally cheap enough to buy. Prices can always get cheaper. The first thing that will happen is the volume will drop. Investors may lose hope and in despair throw their shares and walking away because it is not worth it. This should be the moment when we, the investors, get interested, because the current phase appears very much like “consolidation”. Consolidation is the phase where value gets established because other investors are willing to buy from those who have given up. In CSL’s case are we still at the point of consolidation... ??? or inflection point??? – ponder over it and act accordingly.

Correction : I think the dividend won't be announced by FEB14. Only 4Q results will be out then. Dividend announcement should be in May14.

By end FEB 14: I forecast 3.4c dividend for financial yr ending 2013. Price will stay 19c and above. TP 26c.

Datuk : U take my bet?. Good either u leave this forum i.e. if price don't hit 16c or I leave this forum if price hit 16c by the 4Q results announcement date. All forumers to note. Wahaha, Warrior and all to be witness.

Anyway, I will be making a trip to midvalley and drop in the Share registrar to find out who are the major shareholders!! Got to sign off.

Wahaha : u are telling people CSL less than 50% chance. U meaninvestors don't know how to evaluate risk themselves - that's what I mean and need yr advice. Goodness!.

I have the RT CEO name card - got to write to him to emphasis and feed him some info.

I just had lunch with a close friend who is a CFO of a billion $ capitalised co. that some of u had invested and was told that the best way to audit cash is to get the bank statement printed on the spot in front of the bank manager.

Wahaha : Investors are not stupid. How do u arrive at 50:50 huh?.

Wahaha : Not legal binding but can sue for publicity mah!

HC Lee : I know the process of verifying the cash in bank. What I mean is sometimes in China or third world, when u don't trust a county bank branch the auditor esp in CSL case they need to go to write to HQ or sit in front of the bank terminal to sight the bank balance!. Need to go that extreme to confirm cash in bank to make sure it is 100% damn sure the money is there. That is what I am trying to convey to the auditor.

CF told everyone that he will not be selling his shares during questioning by a shareholder. I think it is minuted. So if he sells I can go to the Co. secretary and get a copy of minutes and sue him.

SC disclosure rules on major shareholder selling is 3 days, if I am not mistaken - can easily check on CS web under regulations on disclosure.

HC Lee : I have also written to both Bursa and SC - todate no reply. Disappoint. I have know a friend working in SC to find out what's going on. Most likely Bursa or SC won't reveal anything to public while under investigation. E.g most recent case insider trading case action taken only 5-6yrs later but investigation file all the time open. CF delayed the announcement of CFO demised so don't know whether he violate any SC rules or not.

I asked the RT CEO how is cash in bank verified. Even told him the need to go to Bank HQ to get the statement or better still be in front of the bank computer to personally see the statement balance being printed on the spot for the cash verification. Any better way to check the cash in bank? Anyone??.

HC Lee : The auditors didn't resign on their own accord. Listed to those who attended the SGM. Go read up the earlier postings for your own info.

Wahaha, Datuk and all your disciples : U all fire so many questions in this forum. Why don't u all turn up at SGM to fire at CF and BOD?!.
That way u all can hear from the horses mouth. I would like to see u all turn up at the next AGM so I can know who all of u are.

wahaha : so u didn't take up my challenge that CSL will not hit 16c by 4Q results announcement. That goes to show that you do not believe that CSL will drop to 16c. That's it.

For all forumers to judge : u said 99 out of 100 thinks that the RM1b is gone - fake money. What makes u give a sweeping statement like this?. I thought u are a smart and shrewd guy from your postings and for u to make such sweeping statement without any survey is preposterous. There are thousand of investors currently holding CSL shares - did u interview all of them? If not please don't make such statements unless u have facts and statistics to back u up. Right now all is presumptions and speculation. Only time will tell.

All those negative "doomsday" comments posted by people who have already sold their shares are done with ulterior motives i.e. to press down the share price so they can buy back again but at a slightly lower price. This group of people are on the blog to plant fear in investors so that those who are influenced will sell their shares. If u don't believe me go back to read all the earlier postings. The truth is revealed in their earlier comments.

Harvard : u got zero share now? Sold off due to all the negative talk here?

If people cannot answer my questions abt how much cash is left in CSL bank then for goodness sake - shut up! and leave the work to RT LLP to confirm. sorry have to say that.

I think there is a some risk in CSL investment. But one should be open minded and not jump into conclusion without evidence yet like the cash RM1b+ cash is missing. On what basis do you say that?. 0? cash balance, 200m?, 500m? how much can someone answer please and I can make a decision to divest or make more investment in CSL. U are better than the qualified auditors who does the auditing?. I will thank those who can give me an answer so I won't lose money in CSL counter.

wahaha : u still got 2kk shares right?. Why not sell of and wait to buy back at 16c?. That's a better bet for u right since u got no confidence?. If u do sell off please let the other share holders stick with it and not be bothered then. I am puzzled?! or is it that u has sold off all by now.

Harvard : If u are an auditor, I will run no matter what company u audit. Because every account you handle it will be fraudulent financial reporting. At least give some respect that is due to FKT for past audits. It has not been proven yet so it is only your fear now! and it is real in your mind!.

Harvard : Correction - The total sale proceed is RM256m. The interest received last 3Q is RM2,864,000 and interest paid is RM1,383,000.

wahaha : I think u are not a risk taker type of investor. 20c share value for CSL worth taking a bet. Right?. You think can go to 16c or 3c as someone said?. I will disappear from this forum if the price dips to 16c by next 4Q results and u won't see my posting ever. I mean it. What if it didn't can some people also disappear from this forum if it didn't dip to 16c? I am not even talking abt 3c!. What say u?
I don't like to be F off like some!

wahaha : What if the cash is real?! What if the new auditor does his quality audit?. RT CEO assured everyone that they will be paying due attention to the cash audit concern raised during the SGM. Just be patient and wait for the dividend. If no dividend I will clear off no matter what!. Surprisingly, before the change of auditor was announced, u were quite positive then, now that the issue is clear when a change of heart? I don't understand. THe cash issue has all the while been there bothering everyone - the same uncertainty then and now!. If co. got RM1b, u are too late my friend!.

Do note that CSL is not a reverse takeover like those in US. Many of the US listings were accomplished using the “backdoor” method of a reverse merger, where the Chinese company merges into a publicly listed shell. Many China companies were delisted due to accounting fraud as no proper due diligence was carried out in such cases.

In the listing prospectus, FKT Grant Thornton signed off the financial statements for 2007,2008,2009 and 2010 so I hope that they have done their audit properly over the years so there won't be any surprises now when RT LLP takes over. Altogether FKT were CSL auditors for 6 years and the earlier years was when CSL aborted their listing on SGX due to poor sentiment then.

The sentiment before the SGM was quite negative I must say to the extent that some people on this blog chickened out and sold off a lot of their shares in CSL when the price is around 19.5c. The fear that some big audit issues may surface due to the change in the Independent auditors has subsided now esp. among those who were present at the SGM after listening to the reasons given by CF and CFO.

So far all the past 7Q financial reports filed with Bursa Msia have been audited by FKT Grant Thornton with no issue raised. Because of the low price now due to sell down by CF a lot of investors do not trust the Management and some thinks that the cash is missing, inflated revenue and profits etc etc . We may not be satisfied with the reasons given by CF i.e. selling to strategic partners n forced sale by banks so some investors arrived at the conclusion that CSL is a fraudulent co. Just think - imagine if you are CF and you want to con all the minority shareholders, won't u sell yr shares when the price hit RM1.2 to RM1.9 in 2012?!. Why sell at avg price of 42c? for the 600m shares?. OF course there are many unanswered Q like why no SSB lah, why let the bank force sell lah?, why sell to strategic partners lah?. I don't have the answers but I decided to take the risk and hold on. I think it is worth the risk for me to take - the PPE (property, plant and equipment) are paid up and worth a lot of money, ongoing profitable business, and div payment this year.

Ha! If this blog is still my hunting ground for my daily bread, yes I will continue to blog but with a motive - to cari makan mah!

I welcome all info that u all can contribute so that if I feel that the risk is lopsided then I will get out of CSL and I won't even bother to hang around in this blog! - waste of time to do that!

Some people are just not reading and understanding my motive. Weigh the risk and invest if not sell your shares and get out of CSL!. There is enough info on this blog to help people make decisions themselves.

Regarding the Auditor resignation, I withdraw my comment that "They were sacked". I should have said " They were replaced by RT LLP". Thanks to Fam Jenny for pointing out.

I am asking myself whether I am wasting my time blogging on CSL and sharing info with u all?. There is nothing constructive here that warrants people attention except if u can come up with facts and figures to share. If u are serious investor in a company please go attend all the important meeting and ask critical questions to satisfy yourself that the risk u are taking is worth it.

I am sure with all the info posted on this blog, all forumers can judge for themselves and make decisions to hold or sell. TO vote for Pakatan or BN. In the end all will be able to see the results very soon once div is announced. We all cannot assume that CSL is a rotten apple so is worth 3c. That is purely speculative and with ill intention esp when one still wants to buy back at 16c?!. Yes there are some questions we don't have answers to and as I keep repeating this - we will be rich if we have prior answers to those questions. So even with Fam Jenny who so kindly inform everyone on this blog that she spoke to one of the independent Directors and the director has confirmed sighting the FD receipt, yet there is so much scepticism. Yes some of u can say it is a forged certificate etc etc. Go ahead and bury your Ostrich head in the sand!

There are many on this blog that are short term traders i.e. they buy and sell within a tight price margin. They will create positive news to encourage people to buy and once they have sold their shares they will try very hard to discredit the co. so as to influence other to sell down so that they can buy back their shares at a lower price. That is the "in out in out" investment strategy. Well some of u are welcome to join them and sing along with them and it does not bother me as I am not emotional about my investment. But I have concern for those who are weak in their analytical skills and who invest with their emotions because those are the ones who will be hit badly. Imagine when the market hit the bottom in 2008 and u sell off all your shares because of extreme negative sentiments - u could have missed the chance to get back 200% to 400% of the share value then.

RT LLP is a big enough Audit firm for CSL so don't be too concern over whether they are top in the world or not. ENRON, WorldCom and Satyam collapsed even with the biggest audit firm in the world!.

Regarding the SGM, I am still puzzled by the low no shareholders and proxies shares. Minority shareholders of only 16,817,300 shares out of 953,660,000 shares(after minus Lead Champion stake) attended the SGM.
Last year AGM2013 the minority shareholder's turnout is even lower - 8,237,000 shares represented!. Looks like nobody interested to query management on co. business and financial affairs.

I don't buy CF story of strategic partnership. But it could be a scheme which we all don't know yet. From now till the 4Q results in Feb14 what risk is there ask yourself?.
In a bull market, share move mostly due to frying and sometimes until irrational exuberance! The last phase of bull market is where u make the most money but also a risky period and I don't think we are there yet from my judgement - I may be wrong.
So far CSL financials has no audit issues like HB Global (drop to 14-15c). The change of current auditors is no issue at all and I hope new broom sweeps clean and I do pointed out to RT LLP CEO and the Audit committee that special attention must be paid to cash audit. So my next review is in FEB14 after the 4Q results and Div announcement is out.

Hey guys, share investment is about risk taking man! No share is safe as long as your hand is in it!

Datuk: As u said it is all abt risk margin and tolerance. My tolerance is high and the margin is small. Say CSL goes PN17 so what I lost some money. These are all profits from my investments. With the money that CF obtained from his share sale he can easily buy back all the shares transacted between 26Nov13 to 10Jan14 - 336,378,700 shares for RM67,991,507. The total proceeds from his sale of 603,117,200 shares is RM256,117,200(all from my spreadsheets). He can buy back all his 603 million shares and still have RM125m left in his pocket!.He could be playing a game with u guys and u all have lost to him had u all bought sometime ago. But to join him now at the bottom price we can win!. Next week my prediction is that CSL will move up with decent volume. See who win then!

CF interviewed by Nanyang Siang Pau on SGM day 10JAN14 pl. see =

https://dl.dropboxusercontent.com/u/28639210/Nanyang%20Siang%20Pau%20News%20on%2011JAN14.JPG

He confirmed during the interview that CSL will be paying 20% of net profit as Div. for 2013. SO expect to receive 3.4c to 3.8c div this year which works out to 16% to 18% return/yr based on 21c share price. He also said that CSL has plans to set up a new factory in an ASEAN country(no longer in Malaysia) - he can't reveal now but I strongly suspect it is in Indonesia because they has 2 indepentent Directors who are based in there and they are corporate figures. He said Europe economy is improving and have positive effect on this yr financial performance. Regarding his selldown of Lead Champion shareholding, I don't know how much truth is in it - for all to judge. He sold his share cheap to draw in strategic partners in the business?!?. You believe!