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Kingold Deadline Alert: Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses Exceeding $50,000 In Kingold Jewelry, Inc. To Contact The Firm

NEW YORK, NY - ( NewMediaWire ) - July 09, 2020 - Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Kingold Jewelry, Inc. (“Kingold” or the “Company”) (NASDAQ:KGJI) of the August 31, 2020 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

If you invested in Kingold stock or options between March 15, 2018 and June 28, 2020 and would like to discuss your legal rights, click here: www.faruqilaw.com/KGJI. There is no cost or obligation to you.

You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to [email protected].

CONTACT:
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017

Attn: Richard Gonnello, Esq.

[email protected]

Telephone: (877) 247-4292 or (212) 983-9330

The lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of all those who purchased Kingold securities between March 15, 2018 and June 28, 2020 (the “Class Period”). The case, Chitturi v. Kingold Jewelry, Inc. et al., No. 20-cv-02886 was filed on June 30, 2020, and has been assigned to Judge LaShann DeArcy Hall.

The lawsuit focuses on whether the Company and its executives violated federal securities laws by making materially false and/or misleading statements and failing to disclose that: (1) Kingold used fake gold as collateral to fraudulently secure loans; (2) consequently, the Company would face creditor lawsuits and be delisted from the Shanghai Gold Exchange; and (3) as a result, Defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.

Specifically, on June 29, 2020, before the market opened, Caixin Global published an article entitled “Cover Story: The Mystery of $2 Billion of Loans Backed by Fake Gold.” The article stated, among other things, that Kingold had used gold bars that were actually gilded copper as collateral in loans and was now facing lawsuits as a result, and that Kingold had been delisted from the Shanghai Gold Exchange.

On this news, Kingold’s stock fell from a closing price of $1.12 per share on June 26, 2020 to $0.85 per share on June 29, 2020—a $0.27 or 24.11% drop.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.

Faruqi & Faruqi, LLP also encourages anyone with information regarding Kingold’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.