SHAREHOLDER ALERT: Pomerantz Law Firm Reminds Shareholders With Losses on
Their Investment in China Mobile Games & Entertainment Group, Ltd of Class
Action Lawsuit and Upcoming Deadline -- CMGE
NEW YORK, July 11, 2014 (GLOBE NEWSWIRE) -- Pomerantz LLP has filed a class
action lawsuit against China Mobile Games & Entertainment Group, Ltd. ("China
Mobile Games" or the "Company") (Nasdaq:CMGE) and certain of its officers. The
class action, filed in United States District Court, Southern District of New
York, and docketed under 14-cv-4745, is on behalf of a class consisting of all
persons or entities who purchased CMGE's American Depository Shares ("ADS")
between September 20, 2012 and June 19, 2014, inclusive (the "Class Period"),
including those investors who purchased CMGE ADS pursuant to the CMGE's
secondary public offering that closed on or about March 26, 2014. This class
action seeks to recover damages against Defendants for alleged violations of
the federal securities laws under the Securities Act of 1933 (the "Securities
Act") and the Securities Exchange Act of 1934 (the "Exchange Act").
If you are a shareholder who purchased China Mobile Games securities during
the Class Period, you have until August 19, 2014 to ask the Court to appoint
you as Lead Plaintiff for the class. A copy of the Complaint can be obtained
at www.pomerantzlaw.com. To discuss this action, contact Robert S.
Willoughby at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll
free, x237. Those who inquire by e-mail are encouraged to include their
mailing address, telephone number, and number of shares purchased.
China Mobile Games, a Cayman Islands corporation headquartered in Guangzhou,
China, is the largest publisher and developer of mobile games in China.
The Complaint alleges that throughout the Class Period, Defendants made false
and/or misleading statements, and failed to disclose material adverse facts
about the Company's business, operations, prospects and performance.
Specifically, during the Class Period, defendants made false and/or misleading
statements and/or failed to disclose that: (i) CMGE was engaged in a bribery
scheme within the Company's game publishing business; (ii) CMGE was engaged in
undisclosed related party transactions; (iii) CMGE lacked adequate internal
controls; and (iii) as a result of the above, the Company's financial
statements were materially false and misleading at all relevant times.
On June 19, 2014, the price of CMGE shares fell $4.27 per share to $14.63,
before being halted by the NASDAQ on news reports that CMGE had removed nine
executives, including defendant Ying Shuling, CMGE's President, for alleged
involvement in bribery.
Chinese internet news media reported that the misconduct also involved
undisclosed related party transactions involving CMGE. These reports also
indicated that in addition to Shuling, Vice President Sun Jingzhi, Vice
President Du Xinxing, and General Managers Min Shuzhong and Wang Kun and
Distribution Center Director Du Juan, Overseas Distribution Group Vice General
Manager Luo Xiao, were among those terminated.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San Diego,
is acknowledged as one of the premier firms in the areas of corporate,
securities, and antitrust class litigation. Founded by the late Abraham L.
Pomerantz, known as the dean of the class action bar, the Pomerantz Firm
pioneered the field of securities class actions. Today, more than 70 years
later, the Pomerantz Firm continues in the tradition he established, fighting
for the rights of the victims of securities fraud, breaches of fiduciary duty,
and corporate misconduct. The Firm has recovered numerous multimillion-dollar
damages awards on behalf of class members. See www.pomerantzlaw.com.
CONTACT: Robert S. Willoughby
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