This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

MURRAY, FRANK & SAILER LLP Announces Investigation Of Longtop Financial Technologies, Limited.

MURRAY, FRANK & SAILER LLP is investigating securities fraud claims against Longtop Financial Technologies, Limited (“Longtop” or the “Company”) (NYSE: LFT) and certain of its officers and/or directors, on behalf of purchasers of Longtop securities between June 29, 2009 and May 17, 2011, inclusive (the “Class Period”).

The investigation concerns violations of the Securities Exchange Act of 1934 (the “Exchange Act”) that occurred when the Company and certain of its officers and/or directors issued materially false and misleading statements or omitted to state material information during the Class Period regarding Longtop’s accounting policies and business operations. As a result of these misstatements, Longtop’s stock traded at artificially inflated prices throughout the Class Period.

Between April 26, 2011 and May 9, 2011, Citron Research, John Hempton of Bronte Capital, and OLP Global issued reports on Longtop that outlined concerns about the Company and its public disclosures. Among the concerns outlined were (1) margins substantially in excess of the Company’s competitors; (2) an “unconventional staffing model” under which the majority of the Company’s employees were not directly employed by the Company; (3) allegations of previous misdeeds by the Company’s Chairman and CEO, including a previous lawsuit for unfair business practices; (4) certain transfers by the Company’s Chairman of the Company’s stock to his friends and employees; (5) questions about the Company’s claims regarding its cloud-based storage service; and (6) questions about the Company’s accounting figures.

On May 17, 2011, trading of the Company’s ADSs was halted on NYSE, pending an announcement by the Company. The following day, May 18, 2011, the Company announced that it would not release its financial results for the fourth quarter of 2010 and fiscal year 2010 on May 23, 2011, as previously scheduled. Instead, on May 23, 2011, the Company issued a press release announcing, among other things, (1) the resignation of the Company’s CFO; (2) the resignation of the Company’s auditor, Deloitte Touche Tohmatsu CPA Ltd. (“DTT”), due to the DTT’s belief that the Company’s accounting records were false, and management’s interference with the audit process; (3) that the SEC was conducting an inquiry into the Company regarding matters related to DTT’s resignation; and (4) that the Company had initiated an independent investigation regarding matters related to DTT’s resignation.

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,493.37 -69.93 -0.42%
S&P 500 1,925.15 -5.52 -0.29%
NASDAQ 4,352.6390 -17.1340 -0.39%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs