According to the Complaint, Qudian Inc. provides online small consumer credit products in China, using big data-enabled technologies, including artificial intelligence and machine learning to purportedly transform the consumer finance experience.

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations and compliance policies. Specifically, the Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) regulatory developments in China threatened to negatively impact Qudian’s fiscal full year 2019 (“FY19”) financial results; (ii) Qudian’s business was unprepared to mitigate the risks associated with these regulatory changes; (iii) as a result, Qudian’s loan portfolio was plagued by growing delinquency rates; (iv) all of the foregoing made Qudian’s repeated assertions concerning its FY19 financial guidance unrealistic; and (v) as a result, the Company’s public statements were materially false and misleading at all relevant times.

On April 7, 2020, the Court issued an Order appointing Co-Lead Plaintiffs and approving Co-Lead Counsel. Co-Lead Plaintiffs filed an amended Complaint on June 17. Defendants filed a Motion to Dismiss the amended Complaint on September 4. On September 13, 2022, the Court issued an Order granting Defendants' Motion to Dismiss. Plaintiffs were given leave to amend the Complaint. Plaintiffs did not amend the Complaint, and on December 7, the Court entered Final Judgment in favor of the Defendants.