UPDATE: Silvercorp To Try Subpoena Anonymous Investors Behind Fraud Allegations
Silvercorp Metals Inc. (SVM.TO), the China-focused miner battling short-seller allegations of impropriety, says it is teaming up with at least one other company being targeted to try to subpoena the anonymous investors behind the reports, according to the Globe and Mail. Silvercorp looks set to close slightly higher at around $6.91, but off a day high $7.07 with more than one million shares traded. It opened at $6.79, lower than a previous close $6.88.
Rui Feng, chief executive officer of TSX-listed Silvercorp, reportedly said Tuesday that his company's lawyers are working with the legal team at Nasdaq-listed Deer Consumer Products, which has launched legal action against a research firm named Alfred Little.
Alfred Little is also behind one of two sets of allegations of wrongdoing against Vancouver-based Silvercorp, including new accusations released Monday that the miner inflated earnings, the Globe and Mail said.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.