WILMINGTON, Del., June 2, 2014 /PRNewswire/ -- Andrews & Springer LLC, a boutique securities class action law firm focused on representing shareholders nationwide, is investigating potential breach of fiduciary duty claims against the Board of Directors of ChinaCast Education, Corp. (OTC: CAST) ("ChinaCast" or the "Company").
On September 26, 2013, the U.S. Securities and Exchange Commission (the "SEC") filed an action against ChinaCast's former Chairman and CEO Chan Tze Ngon ("Chan") and former President Jiang Xiangyuan ("Jiang") for engaging in a scheme that improperly diverted $41 million of Company proceeds to certain ChinaCast subsidiaries where the former executives secretly held ownership stakes. Additionally, according to the SEC, Jiang used non-public information from the Company to dump over $230,000 worth of stock before the information became public. When news about the fraud and misconduct reached the public, ChinaCast's market capitalization dropped from over $200 million down to $5 million. On April 2, 2014, NASDAQ suspended trading in ChinaCast. The Company has subsequently been delisted from the NASDAQ exchange and currently trades over-the-counter. (A copy of the SEC's complaint can be found here: http://www.sec.gov/litigation/complaints/2013/comp-pr2013-200.pdf)
Given this information, Andrews & Springer LLC is preparing a class action lawsuit as a result. If you owned shares of ChinaCast from February 14, 2011 to April 2, 2012 and want to receive additional information and protect your investments free of charge, please visit us at http://www.andrewsspringer.com/cases-investigations/chinacast or contact Craig J. Springer, Esq. at cspringer@andrewsspringer.com, or call toll free at 1-800-423-6013. You may also follow us on LinkedIn – www.linkedin.com/company/andrews-&-springer-llc, Twitter – www.twitter.com/AndrewsSpringer or Facebook - www.facebook.com/AndrewsSpringer for future updates.
Andrews & Springer is a boutique securities class action law firm representing shareholders nationwide who are victims of securities fraud, breaches of fiduciary duty or corporate misconduct. Having formerly defended some of the largest financial institutions in the world, our founding members use their valuable knowledge, experience, and superior skill for the sole purpose of achieving positive results for investors. These traits are the hallmarks of our innovative approach to each case our Firm decides to prosecute. For more information please visit our website at www.andrewsspringer.com. This notice may constitute Attorney Advertising.
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