China Resources Power reported in dubious deal

China Resources Power Holdings Co fell the most in more than four years after Xinhua News Agency posted a letter on its website by one its reporters that said the power generator and the chairman of its State-owned parent intentionally overpaid for a 2010 acquisition.

The company's shares fell as much as 11.8 percent, the biggest drop since Nov 6, 2008. Hong Kong's benchmark Hang Seng Index was little changed.

The letter written by Xinhua reporter Wang Wenzhi said Song Lin, chairman of parent China Resources (Holdings) Co, overpaid for the acquisition.

China Resources Power paid 7.9 billion yuan ($1.3 billion) for an 80 percent stake in Shanxi province coal-mine assets that another party valued at half the price, according to the letter.