U.S. based law firm Levi & Korsinsky is reportedly investigating China Integrated Energy Inc. to determine whether it has violated federal securities laws by issuing false and misleading statements.
According to a statement from the law firm, on March 16, 2011, Sinclair Upton Research issued a report alleging that China Integrated concealed numerous "fraudulent acquisitions" between the company's directors and officers. Furthermore, the report alleges that the company misrepresented its financial performance, including "fabricating its SEC financial statements."
In response to the news, on March 17, 2011, shares of China Integrated dropped over 24% to close at USD3.77 per share.
The law firm is now reaching out to investors who may have been affected, and no lawsuit has apparently been lodged yet by the law firm against China Integrated Energy.
