Shareholders accuse solar firm of accounting fraud
16 October 2007
Shareholders of LDK Solar, a Chinese solar power company listed on the New York Stock Exchange, have filed several lawsuits in the US against the company, the Wall Street Journal reported. The shareholders, who are currently seeking class action status, have accused the company of accounting fraud. The allegations began after a former employee, Charlie Situ, sent an email to the Securities and Exchange Commission claiming that LDK was inflating its inventory figures for silicon by 86%, thereby overstating the company's production capabilities. A company spokesperson said the allegations had been investigated and found to be "without merit."