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Case Status:    DISMISSED    
On or around 02/25/2009 (Court's order of dismissal)

Filing Date: May 22, 2007

According to a press release dated May 22, 2007, the Complaint charges that Defendants Xinhua, certain officer of the Company, J.P. Morgan Securities Inc., UBS AG, CIBC World Markets Corp., and WR Hambrecht & Co., LLC made, or facilitated, misleading statements in the Company's March 8, 2007 prospectus (the "Prospectus"), issued in connection with the offering of 23,076,932 ADSs, representing 46,153,846 common shares at $13 per share.

The Complaint alleges that the Prospectus failed to disclose material information that since April 2006, prior to the Company's IPO, Shelly Singhal, the Company's CFO at the time of the IPO, was simultaneously an investment banker and stockbroker in charge of Bedrock Securities ("Bedrock"). Since April 2006, prior to the Company's IPO, Bedrock had been under a Nasdaq cease-and-desist order for violating SEC regulations. Moreover, reports also surfaced that Singhal had been fighting a private civil racketeering lawsuit in California and had previously been a major investor in AremisSoft and ACLN, companies previously sued for fraud by the SEC. This information was never disclosed in the Prospectus.

On July 26, 2007, Judge Laura Taylor Swain signed the Order consolidating several actions under lead case In re Xinhua Finance Media, Ltd. Securities Litigation, Master File No. 07 cv 3994. On August 22, 20007, the Yen-Li Group was appointed lead plaintiff and the law firms of Bernstein Liebhard & Lifshitz LLP and Kahn Gauthier Swick, LLC, were appointed co-lead counsel. On October 22, 2007, the lead plaintiffs filed a Consolidated Amended Class Action Complaint. The defendants responded by filing two motions to dismiss on December 21, 2007. On February 25, 2009, Judge Swain granted the defendants’ motions to dismiss with prejudice. The Clerk’s Judgment was entered on April 2, 2009, and the case was closed.

COMPANY INFORMATION:

Sector: Services
Industry: Broadcasting & Cable TV
Headquarters: China

SECURITIES INFORMATION:

Ticker Symbol: XFML
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. New York
DOCKET #: 07-CV-03994
JUDGE: Hon. Laura Taylor Swain
DATE FILED: 05/22/2007
CLASS PERIOD START: 03/08/2007
CLASS PERIOD END: 05/21/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Bernstein Liebhard & Lifshitz, LLP (New York)
    10 E. 40th Street, 22nd Floor, Bernstein Liebhard & Lifshitz, LLP (New York), NY 10016
    800.217.1522 · info@bernlieb.com
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 07-CV-03994
JUDGE: Hon. Laura Taylor Swain
DATE FILED: 10/22/2007
CLASS PERIOD START: 03/09/2007
CLASS PERIOD END: 05/21/2007
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Bernstein Liebhard & Lifshitz, LLP (New York)
    10 E. 40th Street, 22nd Floor, Bernstein Liebhard & Lifshitz, LLP (New York), NY 10016
    800.217.1522 · info@bernlieb.com
  2. Kahn Gauthier Swick, LLC (Former NY)
    12 East 41st Street, 12th Floor, Kahn Gauthier Swick, LLC (Former NY), NY 10016
    212.920.4310 212.696.3730 · info@kglg.com
  3. Kahn Gauthier Swick, LLC (New Orleans)
    650 Poydras St. Suite 2150, Kahn Gauthier Swick, LLC (New Orleans), LA 70130
    504.455.1400 · lewis.kahn@kglg.com
No Document Title Filing Date
No Document Title Filing Date