Jiangbo Pharmaceuticals, Inc.
Robbins Umeda LLP Announces the Filing of a Class Action Suit Against Jiangbo Pharmaceuticals, Inc.
Robbins Umeda LLP, a shareholder rights litigation firm, announces the filing of a federal securities class action by an investor in the U.S. District Court Southern District of Florida on behalf of purchasers of Jiangbo Pharmaceuticals, Inc. (NASDAQ: JGBO.PK) shares between May 17, 2010 and May 31, 2011 (the “Class Period”).
The complaint alleges that beginning on June 8, 2010, certain officers and directors of Jiangbo issued a series of statements that misrepresented the financial condition, business prospects, and true performance of the company, which were designed to deceive the market and artificially inflate the value of the company. The truth about the company’s business health was later revealed through a series of events at Jiangbo. In March 2011, Jiangbo’s Chief Financial Officer resigned from the company. Then, on April 4, 2011, the company reported that it was replacing its auditor, Frazer Frost, LLP, after they declined to stand for reappointment. Finally, on June 7, 2011, Jiangbo announced that the purportedly independent members of the Audit Committee of the Board of Directors had resigned because of a lack of cooperation from senior management regarding U.S. Securities and Exchange Commission (“SEC”) investigation.
On May 31, 2011, the NASDAQ halted trading of the company’s stock due to unresolved issues stemming from a previously undisclosed SEC investigation into business practices at the company. On August 1, 2011, Jiangbo announced that it had been notified by the NASDAQ of plans to permanently delist shares of company’s common stock on its exchange.
If you invested in Jiangbo during the Class Period and would like more information about your shareholder rights, please complete the form below and we will contact you directly. We also welcome you to call us at 800-350-6003.