Have you or your loved ones suffered losses as a result of purchasing Puda Coal?
In late February 2012, the Securities & Exchange Commission charged
two China-based executives with defrauding investors by convincing them
that they were investing in a Chinese coal company when in fact there
was nothing but a shell company with no assets. This fraud has wiped out
hundreds of millions of dollars of shareholder value.
According to the SEC action Puda Coal’s chairman Ming Zhao conspired
with a former CEO Liping Zhu to steal and sell Puda’s only revenue
producing asset, a coal mining company name Shanxi Puda Coal Group.
Puda’s interest in Shanxi was secretly transferred to Zhao who then sold
most of it to a fund, allowing Zhao to reap all the profit at the
expense of Puda’s shareholders.
The scheme was hatched just weeks before Puda was to announce that
Shanxi had received a lucrative contract from Chinese government
authorities causing investors in the US to run the price of the stock
up to over $16. It currently (March 2012) is trading at $.23.
Rex Securities Law , with offices in Boca Raton, FL, and Austin, TX, provides representation to investors nationwide who are seeking recovery of investment losses due to the negligence or fraud of stockbrokers and broker dealers. If you have questions about how your account has been handled, call to speak with an experienced securities attorney.
Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.
Florida-561 391 1900