The law firm of Wolf Haldenstein Adler Freeman & Herz LLP announces that it is investigating potential federal securities claims against FAB Universal Corporation (“FAB” or the “Company”) (NYSE MKT: FU) and certain of its officers and directors in connection with allegations that the Company made materially false and misleading statements regarding its business and operations.
FAB, a company which purports to sell and distribute copyright-protected media and content in China, derives substantially all of its revenue from “Intelligent Media Kiosks,” which provide consumers with downloadable digital content.
On November 14, 2013, Alfredlittle.com reported that not only are the Company’s “Intelligent Media Kiosks” loaded with pirated digital content, but the Company has greatly overstated the number of kiosks that are, in fact, deployed. On this news, FAB common stock declined $0.21 per share or approximately 4% on heavy trading volume. Subsequently, on October 18, 2013, Seekingalpha.com reported that the Company had failed to disclose a 100 million RMB ($16.4 million US) bond offering to investors. This led to an additional drop of $0.89 per share or 17%.
Wolf Haldenstein has represented individual and institutional investors for many years, serving as lead counsel in numerous cases in United States federal and state courts. Please visit the Wolf Haldenstein website ( http://www.whafh.com) for more information about the firm. For further information on this matter please click here.Please contact us no later than January 17, 2014 if you purchased FAB securities between August 15, 2013 and November 15, 2013, inclusive, and wish to discuss this matter with us. Gregory M. Nespole, Esq.Wolf Haldenstein Adler Freeman & Herz LLP270 Madison AvenueNew York, New York 10016 Phone Numbers: (800) 575-0735(212) 545-4657(917) 515-6161 Attorney Advertising