How many Chinese companies have survived an SEC inquiry and then a subsequent accounting issue? Not many, if any.

How many have been delisted? 40.

The odds are overwhelming in favor of this story playing out in an auditor resignation and delisting, as has happened to more than 3 dozen Chinese companies. This one could be different. But it is a suckers bet.

You might also want to look at the other stocks Hanson defended in his article, including China Education Alliance, which has now been delisted, and CMFO, which now is trading under a dollar and should be delisted shortly. Yongye would make it 3 for 3.