An independent study overseen by a committee of independent directors found that NQ Mobile didn't engage in fraudulent conduct as Muddy Waters suggested, the company said. The independent investigation was conducted by Sherman & Sterling and Deloitte & Touche Financial Advisory Services.
The company said it disclosed material information to the SEC in a timely manner, including information related to the stepping down of its Audit Committee Chair.
Muddy Waters initially accused NQ Mobile of fraud in October 2013.
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TheStreet Ratings team rates NQ MOBILE INC -ADR as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate NQ MOBILE INC -ADR (NQ) a SELL. This is driven by some concerns, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its deteriorating net income, disappointing return on equity, generally disappointing historical performance in the stock itself and feeble growth in its earnings per share."