NEW YORK, NY -- (Marketwired) -- 09/11/14 -- The Rosen Law Firm, P.A. reminds purchasers of China Commercial Credit, Inc. securities (NASDAQ: CCCR) between November 14, 2013 and July 25, 2014, of the important October 6, 2014 lead plaintiff deadline in the class action filed by the firm.
To join the CCCR class action, visit the firm's website at http://www.rosenlegal.com/cases-319.html or call Phillip Kim, Esq. or Jonathan Horne, Esq. toll-free, at 866-767-3653; you may also email at pkim@rosenlegal.com or jhorne@rosenlegal.com for information on the class action. The lawsuit is pending in the U.S. District Court for the District of New Jersey.
NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER AND DO NOTHING AT THIS POINT. YOU MAY RETAIN COUNSEL OF YOUR CHOICE.
According to the suit, the Company issued materially false and misleading financial statements about its true financial condition by misstating the Company's involvement in risky loans and loan guarantee obligations. In a February 18, 2014 Forbes article, CCCR's CEO was quoted as saying that "[highly risky loans] among microcredit companies [in China] are not widespread." On May 9, 2014, in a public offering, CCCR sold 1,650,386 of its shares at $3.99 per share, with net proceeds to it of $6.14 million. In the prospectus, dated May 8, 2014, CCCR represented that it estimates loss on its guarantee business to be about 1% of the contract amount.
On July 25, 2014, CCCR issued a press release stating that (a) it had paid out $5.4 million in loan guarantees in Q1 2014, and had received only $0.7 million in cash and $2.1 million in one-year notes from the borrowers, and (b) it had paid out $3.7 million in guarantees in Q2 2014, of which it had only recovered $1.1 million, and converted $1.6 million of it to one-year notes. On this news, CCCR's stock price fell $1.20, or 32%, damaging investors.
If you wish to serve as lead plaintiff, you must move the Court no later than October 6, 2014. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation go to http://www.rosenlegal.com/cases-319.html or to discuss your rights or interests regarding this class action, please contact Phillip Kim, Esq. of The Rosen Law Firm, toll-free, at 866-767-3653, or via e-mail at pkim@rosenlegal.com. You may also visit the firm's website at http://www.rosenlegal.com.
The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation.
Contact Information:
Laurence M. Rosen, Esq.
Phillip Kim, Esq.
Jonathan Horne, Esq.
The Rosen Law Firm P.A.
275 Madison Avenue 34th Floor
New York, New York 10016
Tel: (212) 686-1060
Toll Free: 1-866-767-3653
Fax: (212) 202-3827
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www.rosenlegal.com
