Fuqi International, Inc. ("Fuqi" or the Company) design and manufactures jewelry for the luxury goods market in China.

Filed March 19, 2010, the Complaint alleges that throughout the Class Period, Defendants failed to disclose material adverse facts about Fuqi’s true financial condition, business and prospects. Specifically, the Complaint alleges that Defendants failed to disclose: (i) that Fuqi’s financial results were artificially inflated due to the Defendant’s material misstatement of its inventory and cost of sales; (ii) that the Company’s internal and disclosure controls with respect to its inventory and cost of sales were materially deficient; (iii) that, as a result of the foregoing, the Defendant’s financial statements were not fairly presented in conformity with U.S. Generally Accepted Accounting Principles and were materially false and misleading; and (iv) that, based on the foregoing, Defendants lacked a reasonable basis for their positive statements about Fuqi, its prospects and growth.

On March 16, 2010, the Defendant issued a press release announcing its preliminary financial results for the fourth quarter ended December 31, 2009, and a delay in the filing of its Annual Report on Form 10-K. In response to these statements, on the next trading day, shares of Fuqi’s stock fell more than 37%, to close at $11.90 per share, on approximately 20 times its normal trading volume.

On July 26, 2010, the Court issued an order appointing lead Plaintiff and lead Counsel in this action.

On February 15, 2011, a Consolidated Class Action Complaint was filed by the lead Plaintiff against the Defendants.

On March 21, 2013, the lead Plaintiff filed a corrected version of their consolidated Complaint. An amended Complaint was filed on October 7, 2014.

On September 8, 2014, the parties entered into a Stipulation of Settlement. The Settlement was preliminarily approved on November 21. On February 19, 2016, the Court issued an Order granting final approval of the Settlement and dismissed this case.