Law Offices of Howard G. Smith Announces Class Action Lawsuit Against Yuhe International, Inc.
05 Julho 2011 - 10:30PM
Business Wire
Law Offices of Howard G. Smith, representing investors of Yuhe
International, Inc. (“Yuhe” or the “Company”) (NASDAQ:YUII), has
filed a class action lawsuit in the United States District Court
for the Central District of California on behalf of a class (the
“Class”) consisting of all persons or entities who purchased the
securities of Yuhe between December 31, 2009, and June 17, 2011,
inclusive (the “Class Period”).
Yuhe engages in the supply of day-old chickens raised for meat
production or broilers in the People’s Republic of China. The
Company purchases breeding stocks from primary breeder farms,
raises them for hatching eggs, and sells live, day-old broilers.
The Complaint alleges that throughout the Class Period defendants
made false and/or misleading statements and/or failed to disclose:
(1) that the Company had failed to execute a purchase agreement for
Yuhe’s announced purchase of 13 breeder farms from Weifang Dajiang
Corporation (“Weifang”); (2) that the Company had not completely
paid both the initial amount and remaining balance, totaling more
than $12 million, of the agreement’s total consideration to
Weifang; (3) that the Company lacked adequate internal and
financial controls; and (4) that, as a result of the foregoing, the
Company's statements were materially false and misleading at all
relevant times.
On June 16, 2011, a research report was published on the
Internet alleging that the Company had misrepresented the details
surrounding its acquisition of thirteen breeder farms from Weifang
in 2009 and called into question the accuracy of the financial
statements Yuhe had filed with the Securities and Exchange
Commission during the Company’s 2009 and 2010 fiscal years.
Specifically, the report alleged that Yuhe never reached or
executed an agreement with Weifang and that the $12.1 million
deposit allegedly paid to acquire the farms may have been
misappropriated.
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. If you purchased Yuhe securities between December 31,
2009, and June 17, 2011, you have until August 23, 2011, to move
for lead plaintiff status. To be a member of the class you need not
take any action at this time, and you may retain counsel of your
choice. If you wish to discuss this action or have any questions
concerning this Notice or your rights or interests with respect to
these matters, please contact Howard G. Smith, Esquire, of Law
Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem,
Pennsylvania 19020, by telephone at (215) 638-4847, Toll-Free at
(888) 638-4847, by email to howardsmith@howardsmithlaw.com or visit
our website at http://www.howardsmithlaw.com.
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