Appliance maker under investigation

Issuing a profit warning, Guangdong Kelon Electrical Holdings said it was being investigated by the China Securities Regulatory Commission (CSRC) for illegal money transfers among its connected firms. The appliance giant was just censured by Hong Kong regulators on similar grounds. It said it could post 2004 losses of RMB60m (US$7.25m) after posting a profit of RMB202m (US$24.4m) a year earlier.