SAN DIEGO & NEW YORK--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Yangtze River Port and Logistics Limited (NASDAQ: YRIV) filed a class action complaint against the company for alleged violations of the Securities and Exchange Act of 1934 between February 2, 2016 and December 5, 2018. Yangtze River Port and Logistics primarily engages in the business of real estate and infrastructural development and operating a port logistics center in China.
View this information on the law firm's Shareholder Rights Blog: https://www.robbinsarroyo.com/yangtze-river-port-and-logistics-limited/
Yangtze Accused of Fabricating Data
According to the complaint, on December 6, 2018, Hindenburg Research published a report, stating that "evidence shows that YRIV's claim to its main asset is likely fabricated." YRIV stated that its logistics center was intended to be built on 1.2 million square meters of land leased from Chunfeng Village. However, according to the report, the total area of Chunfeng Village itself is only 610,000 meters. Further consultation showed that most of the area YRIV claimed to lease from Chunfeng Village belonged to other villages. YRIV further deceived investors by repeatedly claiming that they were not involved in any litigation that could have a materially adverse effect on its financial condition when, according to the report, "the precise opposite is in fact the case: the company's operating subsidiary, Wuhan Newport, has so many claims and default judgments against it that it has been declared insolvent in China." When the truth emerged, Yangtze shares fell $3.32, or over 28%, over the next two trading days.
Yangtze Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leo Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a similar outcome.