NEW YORK, Feb. 28, 2012 /PRNewswire/ -- Faruqi &
Faruqi, LLP, a leading national securities law firm, is
investigating potential securities fraud at China Sky One Medical,
Inc. ("China Sky One" or the "Company") (NASDAQ: CSKI).
(Logo: http://photos.prnewswire.com/prnh/20120119/MM38856LOGO
)
The investigation focuses on whether the Company and its
executives violated federal securities laws by failing to disclose
that: (1) China Sky One had improperly inflated its earnings
and gross margins between 2009 and 2012; and (2) the Company lacked
effective internal and financial controls.
On February 15, 2012, the Company
disclosed the resignation of 26 Company managers and accountants.
On that same day, NASDAQ announced that it had halted trading in
the stock until it received adequate "additional information
requested" from the Company. The Company announced that the many
resignations, combined with CEO Yanqing
Liu's absence from China One Sky on health grounds, "are
likely to materially adversely affect many aspects of the Company's
business, including its ability to maintain customer relationships,
meet production schedules, as well as maintain its internal
controls." On these dismal revelations, China Sky One's shares
declined $0.43 per share or 28%, to
close at $1.10 on February 15, 2012.
Request more information now by clicking here:
www.faruqilaw.com/CSKI
Take Action
If you purchased China Sky One securities between April 16, 2009 and February 14, 2012 and would like to discuss your
legal rights, visit www.faruqilaw.com/CSKI. You can also
contact us by calling Richard
Gonnello or Francis
McConville toll free at 877-247-4292 or at 212-983-9330 or
by sending an e-mail to rgonnello@faruqilaw.com or
fmcconville@faruqilaw.com. Faruqi & Faruqi, LLP also
encourages anyone with information regarding China Sky One conduct
to contact the firm, including whistleblowers, former employees,
shareholders and others.
Attorney Advertising. The law firm responsible for this
advertisement is Faruqi & Faruqi, LLP
(www.faruqilaw.com). Prior results do not guarantee or
predict a similar outcome with respect to any future matter.
We welcome the opportunity to discuss your particular case.
All communications will be treated in a confidential matter.
FARUQI & FARUQI, LLP
369 Lexington Avenue, 10th Floor
New York, NY 10017
Attn: Richard Gonnello,
Esq.
rgonnello@faruqilaw.com
Francis McConville, Esq.
fmcconville@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330
SOURCE Faruqi & Faruqi, LLP