Chinese auto parts manufacturer, SORL, listed on in the US via a 2004 reverse merger. In December 2016, the company was attacked by hedge fund advisory service Cliffside Research which alleged that the controlling shareholders were engaged in a number of questionable related party acquisitions and loans which stripped cash out of the listed vehicle. Cliffside also alluded to possible fraud, similar to other Chinese RTOs. The report had little impact with the company's share price doubling over the next six months. However, by late 2018, sell-side analysts were questioning the extent of related party prepayments, leading to a substantial share price correction. In May 2020, SORL was taken private. The fraud allegations remain unproven.

Last updated March 2022

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