China Finance Online Co. Limited : American Depository Shares Securities Litigation
On or around 02/26/2018 (Other)
Filing Date: June 05, 2015
According to the law firm press release, the lawsuit alleges defendants made false and/or misleading statements and/or failed to disclose that: (1) China Finance Online’s Chairman of the Board of Directors and Chief Executive Officer Zhiwei Zhao had an indirect equity interest in Langfang Developer at the time of the Company’s investment; (2) Zhiwei Zhao suddenly resigned from his positions at three key Chinese Variable Interest Entities of China Finance Online; and (3) as a result of the foregoing, China Finance Online’s public statements were materially false and misleading at all relevant times. When the true details entered the market, the lawsuit claims that investors suffered damages.
On October 6, 2015, this case was transferred to the Southern District of New York.
Plaintiffs filed a consolidated complaint on November 13. This was followed by an amended complaint on December 28.
On March 9, 2016, Lead Plaintiffs voluntarily dismissed certain Defendants. The remaining parties entered into a Stipulation of Settlement on August 15. The Court rejected the proposed Settlement on October 20. The parties entered into a second Stipulation of Settlement on November 2. The Court issued an Order preliminarily approving the Settlement on November 18.
On March 24, 2017, the Court granted final approval of the Settlement. On June 23, the Court issued an Order granting in part and denying in part the Motion to approve distribution of the Class Settlement funds.
Company & Securities Information
Defendant: China Finance Online Co. Limited
Industry: Software & Programming
Ticker Symbol: JRJC
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.
First Identified Complaint
Thuc Pham , et al. v. China Finance Online Co. Limited, et al.