China pledges not to sell dollar denominated assets
Beijing: China has promised not to sell large amounts of US dollar-denominated assets while diversifying its record foreign exchange reserves.

The People's Bank of China said it plans to widen the foreign currency investment channel, and reaffirmed the importance of US dollar-denominated assets.

Officials said China will diversify part of its foreign exchange reserves, which amounted to a record $1.02 trillion by the end of March.

The US dollar-denominated assets will remain an important part of China's outbound investment, the bank said in its monetary policy report for the first quarter, which was published yesterday.

The assurance came a day after US President George W. Bush had a telephonic talk with Chinese premier, Hu Jintao.

Hu stressed that the successful holding of the first round of China-US strategic economic dialogue, launched in Beijing last September, which shows that under the backdrop of rapid development of economic globalisation, China and US can enhance mutual understanding and trust through frank and sincere dialogue.
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Now a US probe against Chinese textile exporters
Beijing: Chinese textile exporters may now have to face a potential US countervailing investigation, the Chinese state media reported.
The US National Council of Textile Organisations (NCTO), which began the first countervailing case against Chinese products, is considering launching similar charges against "Made in China" garments, according to China Chamber of Commerce for Import and Export of Textiles (CCCT).

The US Department of Commerce in March this year announced a preliminary countervailing duty on "Made in China" coated paper in the process contravening a two-decade rule of not applying the trade remedy to goods from 'non-market economies' like China.

China's textile exports last year were valued at 174 billion US dollars, an impressive growth of 25 per cent over the previous year following the removal of quotas in global textile trade in 2005.
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Prabhat Goyal, ex-CFO McAfee found guilty of securities fraud
Silicon Valley: Prabhat Goyal, the ex-CFO of McAfee, was found guilty by a San Francisco jury of fudging accounting to hide losses and boost the company's revenue figures from 1998 to Jan 2001.

Federal prosecutors argued that as a result of Goyal's actions, McAfee Inc, earlier known as Network Associates, recorded more than $470 million in revenue and understated its losses by more than $330 million.

The government alleged that Goyal estimated revenue on the number of software licences the company sold to distributors, rather than on the number of licences sold by distributors to customers.

Goyal is also alleged to have given millions of dollars in payments as discounts and rebates to convince distributors to not return unsold products, and to purchase more products than they could sell to customers, a report in a legal publication law.com said.
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