RE: Letter to CCAA Thanks for the effort, but, China would never get involved even if the Canadian government makes such a request. If China affirms that sinoforest contracts were faked, then the next question would be who faked them. These contracts were legal documents. They had on them the stamps of local companies and probably local governments. Do you think China would raise a gun to shoot its own foot?
Would China affirm these contracts were real? It should, but it didn't want to, the reason being, probably, some were, and some were not. Like I said before, to clarify which ones were and were not, which is a very easy thing to do, given China is an authoritarian regime, would eventually bring out all the dirty stuff in the local enomony and the local governments.
So, China chose to stand aloof and mute, and let your regulators, shortsellers, bondholders, and shareholders wrestle with one another. Whatever happens, the one who benefits most is China, for the obvious reason that all the assets and green economy know-how sinoforest owned were, are, and will always be in China. I would not be surprised that when all is said and done, the new owner of the reorganized company is a state-owned enterprise in China. We'll see.