Lentuo International Inc (ADS) (NYSE: LAS) Investor Securities Class Action Lawsuit 03/13/2015

If you purchased American Depositary Shares (ADS) of Lentuo International Inc (NYSE: LAS), you might have certain options and should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Lentuo International
Case Name: 
Lentuo International Shareholder Class Action Lawsuit 03/13/2015
Case Status: 
Lawsuit Filed
Case Status: 
Settlement Approved
Affected Securities
NYSE: LAS
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
03/13/2015
Class Period Begin: 
05/15/2014
Class Period End: 
03/09/2015
Court of Filing: 
U.S. District Court for the Central District of California
Deadline To File for Lead: 
05/12/2015
Date Settled: 
10/25/2016
Settlement Amount: 
$1,000,000
Deadline to Participate in Settlement: 
01/09/2017
Summary: 

September 26, 2017 - The court ordered the authorization of the distribution of the net settlement fund.

March 3, 2017 - The court approved the settlement.

October 25, 2016 - The court preliminarily approved the settlement.

September 2, 2016 - Parties filed a stipulation of settlement.

January 25, 2016 - The lead plaintiff filed a second amended complaint.

January 7, 2016 - The court granted defendants' motion to dismiss with leave to amend.

September 21, 2015 - Defendants filed a motion to dismiss.

August 6, 2015 - The lead plaintiff filed an amended complaint.

June 9, 2015 - Lead plaintiff and lead counsel were appointed.

May 12, 2015 - Lead plaintiff motions were filed.

March 13, 2015 - An investor in American Depositary Shares (ADS) of Lentuo International Inc (NYSE: LAS) filed a lawsuit in the U.S. District Court for the Central District of California against Lentuo International Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between June 14, 2013 and March 9, 2015.

According to the complaint the plaintiff alleges on behalf of purchasers of Lentuo International Inc (NYSE: LAS) ADS between June 14, 2013 and March 9, 2015, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between June 14, 2013 and March 9, 2015 Lentuo International Inc issued allegedly materially false and misleading statements to investors and/or allegedly failed to disclose that Beijing Lentuo Electromechanical Group Co., Ltd. (“Lentuo Electromechanical”)—a related party of Lentuo International Inc —anticipated and issued RMB 250 million of debt in 2013 to finance the construction of 4S dealerships, that the consolidation of Lentuo Electromechanical into Lentuo International Inc’s financial statement is required, that Lentuo International Inc did not have sufficient working capital for 2015, and that as a result of the foregoing, Lentuo International Inc’s financial statements and results were materially false and misleading at all relevant times.

The plaintiff says that when the truth was revealed to investors, the price of Lentuo International Inc ADS fell, damaging investors.

Lentuo International Inc reported that its annual Total Revenue increased from $521.72 million in 2012 to $522.91 million in 2013 and that its Net Loss of $0.87 million in 2012 turned into a Net Income of $3.81 million in 2013.

American Depositary Shares (ADS) of Lentuo International Inc (NYSE: LAS) declined from $5.23 per share in March 2014 to $0.20 per shares on March 11, 2015.