Mega Default In China Scheduled For January 31

There should be no mystery why this investment, known as “2010 China Credit-Credit Equals Gold #1 Collective Trust Product,” is on the verge of default. China Credit Trust loaned the proceeds from sales of the 3.03 billion-yuan ($496.2 million) product to unlisted Shanxi Zhenfu Energy Group, a coal miner. The coal company probably is paying something like 12% for the money because Credit Equals Gold promised a 10% annual return to investors—more than three times current bank deposit rates—and China Credit Trust undoubtedly took a hefty cut of the interest.

Mega Default In China Scheduled For January 31 --> Opinion piece
Actual News article...

Did search didn't find anything. Someone told me about this so i thought i would go search and read the article. Thought it might be important, really don't have an opinion on this. My question is what effect will it have it, if any, with the US Market.


edit... at least someone will kinda "pay" for the wrong doings.
"One of its vice chairmen was arrested in May 2012 for taking deposits without a banking license, undoubtedly trying to raise funds through unconventional channels"
wu

www.abovetopsecret.com... search function is less than perfect

reply to post by 727Sky


Thanks!

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