China Finance Online Co. Limited is a financial information/service company in the Peoples Republic of China.

According to the law firm press release, the lawsuit alleges that 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.