The China Hustle Movie Script

杰瑞发布于2023-12-03

An unsettling and eye-opening Wall Street horror story about Chinese companies, the American stock market, and the opportunistic greed behind the biggest heist you've never heard of.
That's how they make money.
When luminaries speak at it, more power to 'em.
During the six years that General Clark was chairman, Rodman & Renshaw brought over 40 Chinese companies to U.S. markets, with an aggregate value of over $31 billion.
While Rodman and Roth made fees for bringing Chinese companies to the U.S., the real paydays came when the companies listed on major stock exchanges Their analysts would recommend the risky stocks as great investments, and then their salesmen-- like Matt, would push them on their investment network.
Once the stocks rose high enough, the banks and insiders could cash out, leaving others holding the overvalued shares.
The catch was, listing a company on the stock exchange normally required audits and public vetting, but the banks found a way around all that.
They used a backdoor process called a reverse merger.
It's dollar denominated.
It trades onshore, the New York Stock Exchange, the NASDAQ.
It's normally a shell company that is a public-traded stock that has no operations underneath it.
You need to go to Nevada.
A lot of them were there, that had started off as mining companies or whatever, and they were just sort of sitting there, waiting, you know, to find the right partner who could merge into them.
So you need the shell company.
Here's how these reverse mergers work.
a Chinese company looking for a way into American exchanges merges with the shell of a defunct U.S. company that no longer operates but still legally exists and has a listing on a U.S. stock exchange.
The Chinese company then takes the shell company's place in the market.
Presto! You just appear.
You're a stock that's trading in the U.S., and you've got a story to tell.
And no one asks any questions.
Between 2006 and 2012, over 400 Chinese companies listed on U.S. markets.
80 percent of them were reverse mergers.
Our exchanges are monitoring them.
Our banks are vetting these companies.
You don't have to worry about them because they're on the U.S. exchanges.
Oh, you're in Hong Kong?