Noah sinks after controlling shareholder of Camsing criminally detained
Noah Holdings earlier today provided an update on the status of certain credit funds managed by Shanghai Gopher Asset Management, a consolidated affiliated entity of Noah. The company said, "In the course of their investing activities, these credit funds provided supply chain financing involving third party companies related to Camsing International Holding Limited, with a total principal amount of about RMB3.4 billion. The controlling shareholder of Camsing has recently been criminally detained by the Chinese police in connection with suspected fraudulent activity. As the fund manager of these funds, Shanghai Gopher Asset Management has initiated various legal actions and is committed to taking the best course of action to fulfill its obligations and to protect the interests of the investors of these funds." Shares of Noah Holdings are down 19%, or $8.57, to $36.04 in early trading.