Investigators seize documents from First Dragoncom, which also faces a creditor's claims over an alleged unpaid loan The Commerce Crime Bureau announced yesterday that it had seized documents at First Dragoncom Agro-Strategy Holdings last month as part of an investigation into the $126 million missing from the accounts of the agricultural company. The company has been suspended from trading on the stock exchange since the end of April. Its share price closed at 4.3 cents just before it halted trading. First Dragoncom makes and sells eel and shrimp feeds as well as nurture, sell and trade tree seedlings in the mainland through its principal, 70 per cent-held subsidiary Hebei Bashang Plant Seeds. Company chairman Lau Man-kin declined to comment, saying the case had been handed over to the police. He said that the company was talking to a potential investor, independent of the present management, for a possible fund injection. The former chairman and member of the Chinese People's Political Consultative Conference, Perry Hon Fong-ming, resigned after he succeeded in selling 40 per cent of the equity interest in Dragon Delta, which in turn held a 20.95 per cent stake in First Dragoncom. However, according to one director appointed alongside the new shareholder, the deal collapsed soon after the new board members found irregularities in the company's accounts. First Dragoncom is also facing a writ, filed in the Hong Kong High Court by one of its creditors, Elegant World, which is making claims against the company for what it says is an unpaid loan of $3.085 million. The company has little more than $100,000 cash in hand The missing $126 million deposit was discovered in August after an independent investigation committee launched by the new major shareholder, Concord Strategic Investment, started to inspect the company's finances. Management later sought police help. First Dragoncom claims it does not have the financial resources to satisfy in full the claim stated in the writ and has been trying to settle with Elegant World to extend the repayment term. With its bank account frozen, the management said its operations were now very limited and that it had moved to a rent-free office provided by Concord Strategic Investment. A partner of CCIF, the company's auditor, said it had halted all auditing work on the annual accounts for the year to December last year until new instructions came through from management. CCIF was appointed as auditor last year to replace Ernst & Young. Corporate woes Police seize documents in an inquiry into missing $126 million First Dragoncom is seeking fund infusion from a likely investor The firm also faces a writ over an alleged unpaid $3 million loan