San Diego, CA -- (SBWIRE) -- 07/29/2014 -- An investigation on behalf of investors in shares Kandi Technologies Group Inc (NASDAQ:KNDI) shares was announced over potential breaches of fiduciary duties by certain officers and directors at Kandi Technologies Group.
Investors who purchased shares of Kandi Technologies Group Inc (NASDAQ:KNDI) have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
The investigation by a law firm concerns whether certain Kandi Technologies Group officers and directors breached their fiduciary duties and caused damage to the company and its shareholders.
On May 5, 2014, the Securities and Exchange Commission (“SEC”) charged a Toronto-based consultant and four associates with allegedly conducting illegal reverse merger schemes to bring a pair of China-based companies into the U.S. markets so they could manipulate trading and reap millions of dollars in illicit profits. The SEC alleges that S. Paul Kelley and three of the associates acquired controlling interests in two U.S. public shell companies in order to orchestrate reverse mergers with China Auto Logistics Inc. and Guanwei Recycling Corp. According to the SEC’s complaint filed in U.S. District Court for the District of New Jersey, the schemes involving China Auto and Guanwei Recycling occurred in 2008 and 2009. Becker, Lockhart, and Tazbaz orchestrated manipulative trading in a third China-based issuer Kandi Technologies in 2009 and 2010.
Then on July 23, 2014, a report alleged that "Kandi Technologies Group is selling EVs and battery packs at a loss to the JV and certain other corporate entities for the buildout of the Carshare project of which they only have a 9.5% economic interest in. The most disturbing part of this is how KNDI continually boasts about huge revenue growth when, in fact, all they are doing is building out inventories and selling battery packs at a loss to create the appearance of rapidly growing company revenue."
Shares of Kandi Technologies Group Inc declined from $22.18 per share on July 22, 2014, to as low as $18.10 per share on July 23, 2014.
Those who purchased shares of Kandi Technologies Group Inc (NASDAQ:KNDI), have certain options and should contact the Shareholders Foundation.
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