NEW YORK, Dec. 19, 2012 (GLOBE NEWSWIRE) -- Pomerantz Grossman Hufford Dahlstrom & Gross LLP has filed a class action lawsuit against Qiao Xing Mobile Communication Ltd. ("Qiao Xing Mobile" or the "Company") and certain of its officers. The class action filed in United States District Court, Southern District of New York, and docketed under 12-cv-9264 is on behalf of a class consisting of all persons or entities who purchased or otherwise acquired securities of Qiao Xing Mobile between September 10, 2010 and May 2, 2012, both dates inclusive (the "Class Period"). This class action seeks to recover damages against the Company and certain of its officers and directors as a result of alleged violations of the federal securities laws pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
If you are a shareholder who purchased Qiao Xing Mobile securities during the Class Period, you have until February 18, 2013 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at email@example.com or 888.476.6529 (or 888.4-POMLAW), toll free, x237. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
Qiao Xing Mobile manufactures and sells mobile handsets.
The Complaint alleges that throughout the Class Period, the Company made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company was unable to provide the investing public with accurate and current information regarding its current financial results, operations or governance; (2) the Company lacked adequate internal and financial controls; and (3) as a result of the foregoing, the Company's statements were materially false and misleading at all relevant times. As a result of Company's wrongful acts and omissions, and the precipitous decline in the market value of the Company's securities, Class members have suffered significant losses and damages.
On April 30, 2012, the Company disclosed that it would not be able to file its annual report for the year ended December 31, 2011 "due to delays in obtaining certain required documents and information necessary for its public accounting firm to complete their audit procedures in a timely manner."
On May 2, 2012, the Company announced the immediate resignation of its Chief Financial Officer. On this news Qiao Xing Mobile shares declined $0.20 per share or 29%, to close at $0.48 per share.
On May 17, 2012, the NYSE delisted Qiao Xing Mobile shares. When the stock started trading on over-the-counter market the next day, the stock declined $0.33 per share or nearly 69%, to close at $0.15 per share on May 18, 2012.
The Pomerantz Firm, with offices in New York, Chicago, and San Diego, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
CONTACT: Robert S. Willoughby Pomerantz Grossman Hufford Dahlstrom & Gross LLP firstname.lastname@example.orgSource:Pomerantz Grossman Hufford Dahlstrom & Gross LLP