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Case Status:    ONGOING    
On or around 07/29/2020 (Date of last review)

Filing Date: July 24, 2020

According to the Complaint, Wins Finance Holdings Inc., through its subsidiaries, purports to provide financing solutions for small and medium enterprises in the People’s Republic of China. The Company purports to offer financial guarantees, as well as financial leasing, advisory, consultancy, and agency services in Jinzhong City, Shanxi Province, and Beijing. In 2014, Wins entered into a RMB 580 million credit arrangement with Guohong. By the terms of the Guohong Loan, repayment to Wins was due in October 2019. In September 2017, Wins engaged CZD as its independent registered public accounting firm after dismissing its previous accounting firm.

The Complaint alleges that during the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operational and compliance policies. Specifically, the Complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) the ultimate repayment of the RMB 580 million Guohong Loan was highly uncertain; (ii) nonpayment of the Guohong Loan would have a significant impact on the Company’s financial and operating condition; (iii) weaknesses in Wins’s internal control over its financial reporting persisted despite the Company’s repeated assurances to investors that it was taking steps to remediate these weaknesses; (iv) the foregoing issues, among others, made the resignation of Wins’s independent auditor foreseeably likely; and (v) as a result, the Company’s public statements were materially false and misleading at all relevant times.

COMPANY INFORMATION:

Sector: Financial
Industry: Misc. Financial Services
Headquarters: China

SECURITIES INFORMATION:

Ticker Symbol: WINS
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.
COURT: C.D. California
DOCKET #: 20-CV-06656
JUDGE:
DATE FILED: 07/24/2020
CLASS PERIOD START: 10/31/2018
CLASS PERIOD END: 07/06/2020
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Pomerantz LLP
No Document Title Filing Date
—Reference Complaint Complaint Related Data is not available
—Related District Court Filings Data is not available