The Law Offices of Todd M. Garber announces that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of a class consisting of all persons or entities who purchased the American Depositary Shares (“ADSs”) of Ambow Education Holding Ltd. (“Ambow” or the “Company”) (NYSE:AMBO) between May 18, 2011 and May 16, 2012, inclusive (the “Class Period”). Ambow provides educational and career enhancement services in the People’s Republic of China.
The Complaint charges Ambow and certain of the Company’s executive officers with violations of federal securities laws. The Complaint alleges that throughout the Class Period the defendants made false and/or misleading statements and failed to disclose material adverse facts about Ambow’s business, operations and prospects. Specifically, the Complaint alleges that the defendants misrepresented and/or failed to disclose that: (1) certain of the Company’s distributors did not have an adequate history of timely payment; (2) as such, the collection of resulting receivables from these distributors was not reasonably assured; (3) as a result, the Company was improperly recognizing revenue on sales to these distributors; (4) the Company was improperly accounting for certain business acquisitions; (5) as a result of the foregoing, the Company’s financial results were misstated during the Class Period; (6) the Company lacked adequate internal and financial controls; and (7), as a result of the above, the Company’s financial results were materially false and misleading at all relevant times.
If you purchased Ambow ADSs between May 18, 2011 and May 16, 2012, you may move the Court no later than August 10, 2012 to serve as lead plaintiff; however, you must meet certain legal requirements. If you have information or would like to learn more about these claims, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Todd M. Garber, Esquire, of the Law Offices of Todd M. Garber, by telephone at 213-700-7262 or by email to firstname.lastname@example.org.
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