NEW YORK, May 25, 2012 (GLOBE NEWSWIRE) -- Gainey & McKenna and the Egleston Law Firm today announced that a class action has been commenced on behalf of an investor in the United States District Court for the Southern District of New York on behalf of purchasers of the common stock of China-Biotics, Inc. ("China-Biotics" or the "Company") (Pink Sheets:CHBT) between February 9, 2011 and July 1, 2011, inclusive (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act").
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, Thomas J. McKenna, Esq. of Gainey & McKenna at (212) 983-1300, or via e-mail at firstname.lastname@example.org or Gregory M. Egleston, Esq. of the Egleston Law Firm at (212) 683-3400, or via e-mail at email@example.com. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint alleges that, during the Class Period, Defendants knew, or recklessly disregarded, that the Company fabricated (i) a false sales contract; (ii) a false bank website; and (iii) a false bank advice in furtherance of its scheme to fraudulently create the appearance of having achieved a 50% growth in 2011 revenue. As a result of the dissemination of the materially false and misleading information and failure to disclose material facts, the market price of China-Biotics common stock was artificially inflated during the Class Period.
Plaintiff seeks to recover damages on behalf of all purchasers of China-Biotics common stock during the Class Period. The plaintiff is represented by Gainey & McKenna and the Egleston Law Firm (http://www.gme-law.com), whose attorneys have decades of experience in prosecuting securities class actions and investor class actions throughout the United States.