How To Guide For: Understanding The Alibaba -- SEC Investigation
Alibaba is China’s and by some measures, the world’s biggest online commerce company. Its three main sites are Taobao, Tmall and Alibaba.com, which have hundreds of millions of users, and host millions of merchants and businesses. Alibaba handles more business than any other e-commerce company. Alibaba is the most popular destination for online shopping, in the world's fastest growing e-commerce market. There have been rumors that the SEC is investigating Alibaba. According to The New York Post Alibaba Group Holding LTD is under investigation by the Securities and Exchange Commission (SEC) over alleged accounting fraud and apparently the SEC has been getting help from a "higher-up" whistleblower on the inside. The SEC was reportedly investigating Alibaba’s lack of accounting for partial ownership in a logistics and transport operation called Cainiao Network, which Alibaba defended, and clarified on page 122 of a 20-F SEC filing. Alibaba has denied the report claiming that an insider is helping the SEC investigation. Alibaba claims that this is to take peoples' attention away from the upcoming Singles' Day shopping festival, which will happen November 11. Single's Day is the Chinese holiday for the single-set. Single’s Day is an opportunity to treat yourself, and buy the things you’ve always wanted. This reported investigation could potentially hurt Alibaba. So far this is all the information that has been released we will have to wait and see how this all unfolds. To get more information on the Alibaba -- SEC investigation click on the pictures below to read the articles.