| Company: | Puda Coal Inc, |
| Ticker Symbol: | PUDA |
| Class Period: | Nov-13-09 to Apr-8-11 |
| Date Filed: | Apr-14-11 |
| Lead Plaintiff Deadline: | Jun-13-11 |
| Court: | Central District of California. |
| Allegations: | |
The Complaint asserts violations of the Securities Exchange Act against Puda Coal and its officers and directors for misrepresenting the Company's ownership interest of the Company's operating subsidiary Shanxi Puda Coal Group Co. Ltd ("Shanxi Coal."), and related unauthorized transactions involving Shanxi Coal and Puda Coal's Chairman Ming Zhao. According to the Complaint, on April 8, 2001 a stock market analyst, issued a report claiming that Ming Zhao had secretly engaged in related party transactions in order to "steal" half of Puda Coal's ownership interest in Shanxi Coal and pledged the other half of the Company's ownership of Shanxi Coal to Chinese private equity investors (the "Report").
In reaction to the adverse information in the Report, the price of Puda Coal stock fell 34% on April 8, 2010. On April 11, 2011 (the following trading day), trading in Puda Coal's stock was halted before market open. Later that day, Puda Coal issued an announcement admitting that "evidence supports the allegations that there were transfers by Mr. Zhao in subsidiary ownership that were inconsistent with the disclosure made by the Company in its public securities filings." As a result of this adverse information the Complaint alleges that investors have been damaged.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
