August 19, 2008
TSE to Delist China’s Asia Media on Sept. 20
Tokyo, Aug. 19 (Jiji Press)--The Tokyo Stock Exchange said Tuesday it will delist China's Asia Media Co. from its Mothers section for startup firms on Sept. 20 because the company's auditor did not certify its latest financial statements.
Ahead of the delisting, Asia Media shares will be placed on the TSE's liquidation post between Wednesday and Sept. 19.
But it has been engulfed in a scandal involving its former chief executive officer, Cui Jianping, who stepped down in June this year after he was found to have misused time deposits at a fully owned subsidiary as collateral to make a personal bank loan of about 1.6 billion yen.
Because of the scandal, the company's auditor expressed "no opinion" on its financial statements for the year that ended in December 2007.
It is the third stock delisting stemming from the absence of an auditor's opinion at the TSE, following the removal of Internet Research Institute Inc. in June last year and Frameworx Inc. in October, both from the Mothers section.
TSE officials maintained that the exchange sees no problem in its listing criteria, nor does it plan to change its current drive to invite more companies from Asia to list their stocks on the Tokyo exchange.
Concerning the criminal complaint the TSE has filed against former CEO Cui, the officials said that the case is still under investigation by the Chinese authorities.
The officials said the exchange plans to improve the way it collects information about Chinese firms by making use of its Beijing office, which opened early this year.END
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