West China Cement – Glaucus Research

We believe that West China Cement Limited (HK: 2233) (“WCC” or the “Company”) is a blatant fraud. In July 2011, Moody’s Investor Service released a report identifying red flags in the corporate governance of certain Chinese companies. Moody’s found the most flags at WCC, a cement manufacturer operating in China’s Shaanxi province that purports to be one of the most profitable cement companies in China. In this report, we pick up where Moody’s left off and present compelling evidence that WCC is falsifying its publicly filed financial statements.