Replies to post #6323 on China Crescent Ent. Inc (fka CCTR)

[ryan128]

Yes you are.

You can even go to The Street.

They are the only non paid by the company analysis given. The cash flow was according to The Street a negative 2000% year over year. Which means three possible scenarios and none of them are pretty.

One and what many prescribed to on this is the fact that the books are not right. What further lends to this theory is when you dig deeper into the private and public companies Verges has. Also the fact that the last auditor had their license pulled.

Two being that they are allowing clients to carry way too much debt on the accounts. In other words they are very bad at collecting their accounts receivable.

And three would be that they are trying to grow the company too fast. In and of itself it sounds great, but it is not. If they default on loans etc. which Verges did with NWMT they could end up in court or worse BK. How? Their bills are coming due and instead of paying the bills they are buying buying buying new technology, operations etc. Then they are depending on stock sales to stay in business. All fine and dandy till the day the stock does not bring in what they expect.