Shares in Kingold Jewellery, HQ Wuhan China,  listed on the NASDAQ market have lost 60% of their value over the last 2-weeks (from $1.28 a share on June 19 to just $0.48 cents a share on July 3 – due to a widely reported gold scandal – where they are facing allegations that the company deposited fake gold bars as security against loans of £2 BILLION

Claims are that the gold bars were in fact gilded copper.

Main shareholder in this Wuhan company is a former manager of various gold mines run by the Chinese People’s Liberation Army.

This case highlights another example in the HIGH RISK that investors are taking when investing their hard-earned money – into Red China based companies.