SOURCE: Brower Piven, A Professional Corporation

April 07, 2011 17:25 ET

Brower Piven Encourages Investors Who Have Losses in Excess of $100,000 From Investment in NIVS IntelliMedia Technology Group, Inc. to Inquire About the Lead Plaintiff Position in Securities Fraud Class Action Lawsuit Before the May 31, 2011 Lead Plaintiff Deadline

STEVENSON, MD--(Marketwire - Apr 7, 2011) - Brower Piven, A Professional Corporation announces that a class action lawsuit has been commenced in the United States District Court for the Central District of California on behalf of purchasers of the common stock of NIVS IntelliMedia Technology Group, Inc. ("NIVS" or the "Company") (NYSE Amex: NIV) during the period between March 24, 2010 and March 25, 2011, inclusive (the "Class Period").

No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff no later than May 31, 2011 and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You are not required to have sold your shares to seek damages or to serve as a Lead Plaintiff.

The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the Company's failure to disclose during the Class Period that the Company had inaccurately recorded certain transactions; that there were discrepancies in the Company's accounts receivables; and that the Company was engaged in improper acts involving the Company's accounting records and bank statements. According to the complaint: (1) on March 24, 2011, NYSE Regulation, Inc., a subsidiary of NYSE Euronext -- the holding company that owns and operates the American Stock Exchange ("AMEX") -- unexpectedly announced that it was implementing a trading halt in the common stock of NIVS and evaluating both the need for certain public disclosures and the overall suitability for continued listing of the Company's common stock; (2) on March 25, 2011, the Company filed a Current Report with the SEC on Form 8-K that disclosed that the Audit Committee of the Board of the Directors had approved the dismissal of NIVS's independent auditor, MaloneBailey LLP; and (3) the Company indicated that on March 23, 2011, MaloneBailey had provided a letter to the Audit Committee, advising that the independent auditor had encountered issues and concerns that, in their view, required additional information and procedures, including the initiation of an independent investigation, in order to verify the accuracy of certain transactions and balances recorded on the Company's financial statements and records and that they "were unable to rely on management's representations as they relate to previously issued financial statements and [they] could no longer support its audit opinion dated March 24, 2010, related to [their] audit of consolidated financial statements of the Company and its subsidiaries as of December 31, 2009, included in the Company's annual report on Form 10-K for the fiscal year ended December 31, 2009." According to the complaint, the Company indicated that MaloneBailey "based its resignation on what it characterized illegal acts involving the Company's accounting records and bank statements and discrepancies in accounts receivable." As alleged in the complaint, trading in NIVS shares was halted on or about March 24, 2011.

If you have suffered a net loss for all transactions in NIVS IntelliMedia Technology Group, Inc. common stock during the Class Period, you may obtain additional information about this lawsuit and your ability to become a lead plaintiff by contacting Brower Piven at www.browerpiven.com, by email at hoffman@browerpiven.com, by calling 410/415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. Attorneys at Brower Piven have combined experience litigating securities and class action cases of over 60 years. If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need take no action at this time to be a member of the class.

Contact Information

  • CONTACT:
    Charles J. Piven
    Brower Piven, A Professional Corporation
    Stevenson, Maryland
    410/415-6616
    Email Contact