Eating Disorders: Longtop

Monday, 12 November 2012

Longtop

Longtop was founded in 1996 as a system integration company servicing Chinese financial services institutions. In 2001, the company moved into the software and solutions sector. Longtop's clients at one time included China's "Big Four Banks," including China Construction Bank, Agricultural Bank of China and Bank of China. China Postal Savings Bank, China Life Insurance and The People's Insurance Company (Group) of China Ltd. also relied on Longtop for trading solutions.In May 2011, the U.S. Securities and Exchange Commission (SEC) began examining Longtop's historical financial statements for possible accounting problems. Longtop released a statement that its registered independent accounting firm Deloitte Touche Tohmatsu CPA Ltd. (DTT) had resigned as auditor and that its CFO Derek Palaschuk was also resigning.The SEC filed formal charges in November 2011. Longtop was listed on the New York Stock Exchange under the LFT ticker symbol, but shares ceased trading in August 2011 as a result of the SEC investigation. Longtop continued to trade, however, in the over-the-counter market.