NEW YORK--(BUSINESS WIRE)--Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Pingtan Marine Enterprise Ltd. (“Pingtan” or the “Company”) (NasdaqCM:PME) of the August 22, 2017 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Pingtan stock or options between August 8, 2016 and May 10, 2017 and would like to discuss your legal rights, click here: www.faruqilaw.com/PME. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.
The lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of all those who purchased Pingtan securities between August 8, 2016 and May 10, 2017 (the “Class Period”). The case, Zheng v. Pingtan Marine Enterprise Ltd. et al, No. 1:17-cv-03807, was filed on June 23, 2017, and has been assigned to Chief Judge Dora Lizette Irizarry.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose material adverse facts regarding their business, including that: (1) the Company is banned from operating in Indonesia; (2) the Company misappropriated investor capital to fund illegal activity; and (3) as a result, the Company’s public statements were materially false and misleading.
Specifically, on May 10, 2017, research firm Aurelius Value issued a report on Pingtan stating, among other things, that the Company is banned from operating in Indonesia, and that a senior Indonesian minister has said that she would “report Pingtan to the NASDAQ upon suspicion of an international fraud case.” The report further asserted that Pingtan had used investor capital to finance “widespread illegal activity”. Lastly, the report stated that Indonesian Supreme Court documents describe “torture ships” that implicate the Company in “the modern-day slavery that has infected pockets of South East Asia’s fishing industry”.
Following this news, Pingtan’s share price fell from $4.11 per share on May 9, 2017, to a closing price of $2.95 on May 10, 2017—a $1.16 or a 28.22% drop.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Pingtan’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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