NEW YORK, Oct. 11, 2018 — Attorney Advertising–(PR Newswire)–Bronstein, Gewirtz & Grossman, LLC reminds investors that a class action lawsuit has been filed Fanhua, Inc. (“Fanhua” or the “Company) (NASDAQ: FANH) and certain of its officers, on behalf of shareholders who purchased or otherwise acquired Fanhua securities between April 20, 2018 and August 27, 2018, both dates inclusive (the “Class Period”). Such investors are encouraged to join this case by visiting the firm’s site: www.bgandg.com/fanh.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
Founded in 1998, Fanhua (formerly known as ”CNinsure Inc.”) is a leading independent online-to-offline financial services provider. Through its online platforms and offline sales and service network, Fanhua offers a wide variety of life and property and casualty insurance products, and provides insurance claims adjusting services.
The Complaint alleges that Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) Fanhua engaged in improper business practices, including irregular accounting; (2) the foregoing practices were intended to benefit Company insiders and overstated Fanhua’s financial assets and performance metrics; and (3) as a result, Fanhua’s public statements were materially false and misleading at all relevant times.
On August 27, 2018, stock analyst Seligman Investments published an article that described Fanhua as a ”questionable company” and detailed a history of alleged fraud within the Company, including accounting irregularities in the Company’s second quarter 2018 financial results. The article also described ”company insiders” engaging in ”self-dealing tactics”, and asserted that Fanhua’s ”numerous acquisitions, mostly of other insurance intermediaries . . . are rife with related-party abuses.” On this news, Fanhua’s ADS price fell $2.75 per share, or 10.52%, to close at $23.40 on August 27, 2018.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm’s site: www.bgandg.com/fanh or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Fanhua you have until November 6, 2018 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Contact: Bronstein, Gewirtz & Grossman, LLC Peretz Bronstein or Yael Hurwitz 212-697-6484 | [email protected]