China Intelligent Lighting and Electronics, Inc. ("China Intelligent" or the Company) designs, manufactures and sells lighting and consumer electronics in China.

According to the Press Release dated April 1, 2011, the Complaint asserts violations of the federal securities laws against China Intelligent, its officers and directors, and underwriters for issuing materially false and misleading information in the Company's public offering documents. On March 29, 2011 the Company issued an announcement revealing that its auditor MaloneBailey LLP ("MB") had resigned and that MB had withdrawn its prior audit opinion of the Company's financial statements. MB said it "believed that the accounting records of the Company have been falsified, which constitutes an illegal act." MB also found that the accounting discrepancies could indicate a material error in previously issued financial statements. MB also stated that it could no longer rely on management's representations. The Company also disclosed that it is the subject of a formal SEC investigation.

Since March 24, 2011 trading in the Company's stock has been halted, rendering the Company's stock illiquid and damaging investors.

A similar, purported class action Complaint was also filed in the U.S. District Court for the District of Delaware.

On July 7, 2011, the Court issued an order appointing Perritt Emerging Opportunities Fund, and Universal Invest Quality SICAV, Acerco SA, and Antoine de Sejournet 18 (collectively, the de Sejournet Funds”) co-lead Plaintiffs. Additionally, Gold Bennett Cera & Sidener LLP and the Rosen Law Firm P.A. were approved as co-lead Counsel.

On September 6, 2011, the lead Plaintiffs filed a consolidated class action Complaint.

On February 16, 2012, the Court issued an order dismissing the consolidated amended Complaint with leave to amend. In addition, certain individual Defendants were dismissed from this action without prejudice.

On March 16, 2012, the lead Plaintiffs filed a first amended consolidated class action Complaint.

On June 4, 2012, the Court issued an Order granting Plaintiff's motion to consolidate. Neal North v. China Intelligent Lighting & Electronics, Inc., et al., CV 12-2094 PSG (SSx) is consolidated with In re China Intelligent Lighting & Electronics, Inc. Securities Litigation, CV 11-2768 PSG (SSx). The clerk is directed to administratively close Neal North v. China Intelligent Lighting & Electronics, Inc., et al., CV 12-2094 PSG (SSx). All future filings shall be made on the docket of In re China Intelligent Lighting & Electronics, Inc. Securities Litigation, CV 11-2768 PSG (SSx)

On September 5, 2012, the Court issued an order granting in part and denying in part Defendants' motions to dismiss. The Court granted the motions to dismiss of certain individual Defendants without prejudice. The motions to dismiss were denied in all other respects.

On October 25, 2013, the Court issued an order granting Plaintiffs' motion for class certification.

On June 26, 2014, the lead Plaintiffs and certain Defendants entered into a Stipulation of Settlement. This Settlement was preliminarily approved by the Court on September 9th.

On September 18, 2014, default judgment was entered against the issuer Defendant.

On March 9, 2015, the Court granted final approval of the Settlement and closed the case.