New Muddy Waters Short Report: CIFS

Muddy Waters Research have published a new short report called “The Farce Awakens: CIFS.” You can find a copy embedded below or download it via their website. The company in focus this time is NASDAQ-listed China Internet Nationwide Financial Services Inc. (CIFS), which Muddy Waters calls an “old style China fraud.” According to their website, CIFS was founded in September 2014 and provides a range of financial services to mostly small and medium-sized enterprises based on big data and artificial intelligence. The company was listed via the somewhat controversial¬†Regulation A+ filing, which came out of the JOBS Act and allows smaller, early-stage companies to raise up to US$50m by selling pre-IPO shares to the general public and not just accredited investors.