Faruqi & Faruqi, LLP Encourages Investors Who Suffered Substantial Losses Investing In Qiao Xing Universal Resources To Contact The Firm
Faruqi & Faruqi, LLP is investigating potential securities fraud at Qiao Xing Universal Resources, Inc. (“Qiao Xing” or the “Company”) (OTC: XING.PK).
The investigation focuses on whether the Company and its executives violated federal securities laws by failing to disclose that: (1) the Company's Chairman was improperly transferring funds from at least one subsidiary's bank account to an account controlled by him; (2) the Company conducted transactions that improperly pledged or transferred assets from its bank accounts; (3) the Company lacked adequate internal and financial controls; and (4) as a result of the foregoing, the Company's statements were materially false and misleading at all relevant times.
On April 16, 2012, NASDAQ halted trading of Qiao Xing securities for failing to sufficiently satisfy "NASDAQ's request for additional information." On April 20, 2012, the Company disclosed that its Audit Committee commenced "an internal investigation into a transfer of funds from a Company subsidiary's bank account to an account controlled by the Company's former Chairman," Rui Lin Wu. In addition, the Audit Committee is also reviewing "certain transactions involving the pledge or transfer of Company assets and to confirm cash balances of the Company's bank accounts."
Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
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