Kandi Technologies Group, Inc.
Lead Plaintiff Deadline: 08/10/2020
SUMMARY OF CASE:
A securities class action has been filed against Kandi Technologies Group, Inc. (KNDI) on behalf of persons and entities that purchased or otherwise acquired Kandi securities between June 10, 2015 through March 13, 2017. This case has been filed in the USDC – C.D.Cal.
On November 14, 2016, the Company announced the abrupt resignation of its Chief Financial Officer.
On this news, Kandi’s share price fell $0.40 per share, or more than 10%, to close at $3.50 per share on November 14, 2016, damaging investors.
On March 13, 2017, the Company filed a Form 8-K with the SEC revealing that its previously issued financial statements for the years ended December 31, 2015 and 2014, and the first three quarters for the year ended December 31, 2016 will need to be restated.
On this news, Kandi’s share price fell $0.30 per share, or approximately 6%, to close at $4.05 per share on March 14, 2017, further damaging investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that certain areas in the Company’s previously issued financial statements for the years ended December 31, 2015 and 2014, and the first three quarters for the year ended December 31, 2016 required adjustment; (2) that in turn, the Company lacked effective controls over financial reporting; and (3) that as a result, Defendants’ statements about the Company’s business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.