NEW YORK, Dec. 28, 2018 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Nova Lifestyle, Inc. (“Nova” or the “Company”) (NASDAQ: NVFY) in the United States District Court for the Central District of California on behalf of a class consisting of investors who purchased or otherwise acquired securities of Nova between December 3, 2015 and December 20, 2018, both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder.
The Complaint alleges that defendants made false and/or misleading statements and/or failed to disclose that: (1) Nova Lifestyle overstated its purported “strategic alliance” with Shanxi Wanqing to operate as lead designer and manufacturer for all furnishings in Shanxi Wanqing’s planned $460 million senior care center in China; (2) Nova Lifestyle inflated its reported sales in 2016 and 2017 with Shanxi Wanqing and Merlino Lewis LLP; and (3) as a result, Nova Lifestyle’s public statements were materially false and misleading at all relevant times. When the true details entered the market, the lawsuit claims that investors suffered damages.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the February 26, 2019 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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