According to a report by Bloomberg, China Shanshui Cement Group Ltd faces a mounting managerial dispute after a unit filed a lawsuit against the company.
Shandong Shanshui Cement Group Ltd has accused China Shanshui of spreading rumours and filed suit in a court alleging it released ‘false and illegal statements’.
Investors in China Shanshui have been showing growing concern as the company struggles to settle internal disagreements.
To make matters worse, China Shanshui announced that authorities in Jinan refused to proceed with an application for change of directors of the Shandong unit.