WASHINGTON
(AP) - U.S. banking giant Morgan Stanley helped a Chinese company,
Tianhe Chemicals, sell $654 million in stock in a June public offering.
But The Associated Press identified significant discrepancies in
publicly accessible financial records and statements Tianhe made to
investors. Such discrepancies highlight Morgan Stanley's roles
shepherding then promoting then defending Tianhe - which one of its
investment funds partially owns - before and after the chemical company
became a major international stock offering. If Morgan Stanley & Co.
LLC and its fellow underwriters, Bank of America Merrill Lynch and UBS
AG, failed adequately to vet Tianhe, the banks could be subject to
reputational and legal concerns