This thread is already a bit long in the tooth so I'll end with this. It seems illogical at best to cite fraud as a concern in the Chinese small cap space, go to the trouble of making a list of stocks you feel are safe to invest in, and leave out a stock that can be invested in after demonstrably eliminating any concern regarding fraud. You can make a case that AERL may not reach fair valuation because of the alleged shady practices of some junkets in Macau. But you can't make the case that because those practices go on AERL is involved in them. Thinking they are involved would be the only reason not to invest in arguably one of the most undervalued stocks in their space or any other.
Saying AERL will not be party to illegal activities in Macau in the future requires no crystal ball, only a familiarity with management. It appears that RCT is going to ramp up in Q4 as revenue generation in Macau recovers from its slump in the seasonally best quarter of the year. AERL has a new room coming on line, a more profitable remuneration model in place, a larger agent base to work with, a pending HK listing, plenty of cash and credits to deploy, increased LOC's coming, another new room and an expanded one in the works, and a buyback program currently buying shares. At 8x 2013 likely EPS it's a $18 stock that pays a divi. Enough said.