April 21, 2014 (Shareholders Foundation) - An investigation on behalf of investors of Kingold Jewelry Inc (NASDAQ:KGJI) shares over potential securities laws violations by Kingold Jewelry and certain of its directors and officers in connection certain financial statements was announced.
The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of Kingold Jewelry Inc (NASDAQ:KGJI) concerning whether a series of statements Kingold Jewelry regarding its business, its prospects and its operations were materially false and misleading at the time they were made.
Kingold Jewelry Inc reported that its annual Total Revenue rose from $250.45 million in 2009 to $915.73 million in 2012 and that its respective Net Income increased from $8.66 million to $32.67 million.
Shares of Kingold Jewelry Inc (NASDAQ:KGJI) declined from $9.11 per share in November 2010 to as low as $1.00 per share in August 2013.
On April 4, 2014, an article was published that alleged that Kingolds accounting and management practices raise several red flags.
Shares of Kingold Jewelry Inc (NASDAQ:KGJI) declined from $1.91 in January 2014 to $1.12 per share on April 8, 2014.
On April 21, 2014, NASDAQ:KGJI closed at $1.17 per share.