NEW YORK--(BUSINESS WIRE)--Rosen Law Firm, a global investor rights law firm, announces it is investigating potential securities claims on behalf of shareholders of Kandi Technologies Group, Inc. (NASDAQ:KNDI) resulting from allegations that Kandi may have issued materially misleading business information to the investing public.
On March 15, 2016, Chinese financial journal Caixin reported that the Chinese government was investigating electric car manufacturers and local officials that may have defrauded the government of millions of dollars in subsidies through a scheme whereby manufacturers were selling vehicles to their own rental subsidiaries (the “Investigation”). On this news, shares of Kandi fell $0.67 per share or over 7% to close at $8.56 per share on March 15, 2016.
On November 9, 2016, Kandi announced its financial results for the third quarter of 2016. Kandi’s revenue fell over 87% year-over-year and its bottom line fell to a $600,000 loss following a decision by the Chinese government to withhold subsidies pending the results of the Investigation, depriving Kandi of operating capital. On this news, shares of Kandi fell $0.55 per share or over 13% to close at $3.90 per share on November 9, 2016.
On November 14, 2016, Kandi announced the resignation of Wang Chen as its Chief Financial Officer (“CFO”) and the appointment of Mei Bing as Kandi’s new CFO. On this news, shares of Kandi fell $0.40 per share or over 10% to close at $3.50 per share on November 14, 2016.
Rosen Law Firm is preparing a class action lawsuit to recover losses suffered by Kandi investors. If you purchased shares of Kandi please visit the firm’s website at http://www.rosenlegal.com/cases-995.html for more information. You may also contact Phillip Kim or Kevin Chan of Rosen Law Firm toll free at 866-767-3653 or via email at pkim@rosenlegal.com or kchan@rosenlegal.com.
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Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation.
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