Ex-chairman of firm linked to Caterpillar fraud 'dismayed'

The former chairman of a Chinese mining equipment firm bought by Caterpillar said on Monday he was dismayed by allegations of accounting misconduct at a subsidiary that prompted the US firm to take a US$580 million writedown.

Emory Williams Jr said Caterpillar had conducted extensive due diligence before its takeover of Hong Kong-listed ERA Mining Machinery last June, adding that he was seeking further details from the company, the world’s largest maker of tractors and excavators.

via Business feed http://www.scmp.com/business/companies/article/1137901/ex-chairman-firm-linked-caterpillar-fraud-dismayed