Chinese online education company GSX listed on the NYSE in June 2019. Between January and October 2020, the company was targeted by at least eight separate entities alleging fraud, including Grizzly, Citron, JL Warren, Seeking Alpha, Scorpio, Muddy Waters, Sylvan and Deloitte Watch. The main thrust was that the company was using Bot students to inflate class sizes, fabricating teacher CVs, inflating revenues and understating expenses. However, these reports failed to prompt any director, management or auditor resignations. As such, the allegations remain unproven. the company's deteriorating financial and share price performance has more to do with China's changing regulatory outlook than the allegations made by short-sellers.

Last updated July 2022.

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