Pingtan Marine Enterprise ( PME ), a China-based fishing company, said that a federal court in New York dismissed a putative federal securities class action filed against the company, its officers and directors.
In January 2015, Pingtan was sued for allegedly falsely representing in its securities filings that it received profits from its wholly owned subsidiary based in China. The complaint alleged that this was materially misleading. The company filed a motion to dismiss the complaint on various grounds, including that its securities filings were not materially misleading and the complaint did not allege loss causation.
The court ruled the plaintiffs failed to identify a material misrepresentation or omission, and failed to plausibly allege loss causation against the company. All claims against Pingtan, and its directors and officers were dismissed on Jul. 19.
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