Full Truck Alliance falls after short seller accuses of misconduct

Full Truck Alliance

24/01/2023 14:34

** U.S.-listed shares of Chinese digital freight platform
Full Truck Alliance Co  YMM.N  fall 10% to $8.32
    ** J Capital says former YMM salespeople told the short
seller that they set up shell companies to churn bank loans back
and forth which would create the appearance of rising
transaction volumes, terming it a "round-tripping scheme"
    ** YMM did not immediately respond to a Reuters request for
comment.
    ** Hedge fund says as a result of "round-tripping scheme",
transactions might be overstated by 6-10 times
    ** "YMM's principal value to truckers is getting the best
tax rate offered across China's territories. We believe this
business is deteriorating" - J Capital
    ** Up to last close, stock had risen 2.5% in the past 12
months
 (Reporting by Akash Sriram in Bengaluru)
 ((Akash.Sriram@thomsonreuters.com; https://twitter.com/hoodieonveshti;))