STEVENSON, Md., April 14, 2015 (GLOBE NEWSWIRE) -- The securities litigation law firm of Brower Piven, A Professional Corporation, announces that a class action lawsuit has been commenced in the United States District Court for the Central District of California on behalf of purchasers of Lentuo International Inc. (“Lentuo” or the “Company”) (NYSE: LAS ) American Depository Shares (“ADSs”) during the period between June 14, 2013 and March 9, 2015, inclusive (the “Class Period”). Investors who wish to become proactively involved in the litigation have until May 12, 2015 to seek appointment as lead plaintiff.
If you have suffered a loss from investment in Lentuo ADSs purchased on or after June 14, 2013 and held through the revelation of negative information during and/or at the end of the Class Period, as described below, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, without cost or obligation to you, please visit our website at http://www.browerpiven.com/currentsecuritiescases.html . You may also request more information by contacting Brower Piven either by email at hoffman@browerpiven.com or by telephone at (410) 415-6616. No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff.
If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in Company ADSs during the Class Period. Brower Piven also encourages anyone with information regarding the Company’s conduct during the period in question to contact the firm, including whistleblowers, former employees, shareholders and others.
The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the defendants’ failure to disclose during the Class Period that Beijing Lentuo Electromechanical Group Co., Ltd., a related party of Lentuo, anticipated and issued RMB 250 million (approximately $41 million) of debt in 2013 to finance the construction of 4S dealerships, that Lentuo did not have sufficient working capital for 2015, and that the Company's financial statements and results were materially false and misleading. According to the complaint, following a SeekingAlpha.com article published on May 28, 2014 disclosing the RMB 250 million in loans, a second SeekingAlpha.com article published on June 5, 2014 relating to RMB 150 million of the RMB 250 million in loans, and a Beijing Business Today report that all of Lentuo’s 4S dealerships were partially shut down due to working capital turnover problems, the value of Lentuo’s ADSs declined significantly.
Attorneys at Brower Piven have extensive experience in litigating securities and other class action cases and have been advocating for the rights of shareholders since the 1980s. If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need take no action at this time to be a member of the class.
CONTACT: Charles J. Piven Brower Piven, A Professional Corporation 1925 Old Valley Road Stevenson, Maryland 21153 Telephone: 410-415-6616 hoffman@browerpiven.com
