SOURCE: Izard Nobel LLP

April 06, 2011 16:31 ET

Izard Nobel LLP Announces Class Action Lawsuit Against Advanced Battery Technologies, Inc.

WEST HARTFORD, CT--(Marketwire - April 6, 2011) - The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Southern District of New York on behalf of purchasers of the common stock of Advanced Battery Technologies, Inc. ("Advanced Battery" or the "Company") (NASDAQ: ABAT) between March 16, 2009 and March 29, 2011, inclusive (the "Class Period").

The Complaint charges Advanced Battery and certain of its officers and directors violated federal securities laws by making false and misleading statements in public filings with the Securities and Exchange Commission and in its press releases. Specifically, the Company: (i) misrepresented certain of its distribution arrangements; (ii) paid $1.5 million to acquire another company whose location and existence could not be verified; (iii) paid $20 million to purchase a company, but failed to disclose the related party nature of the transaction; and (iv) misrepresented that it owned a company subsidiary when it did not, or failed to disclose that it entered into a related party transaction with its Chairman and Chief Executive Officer, which resulted in the owner of that subsidiary being the Chairman and Chief Executive Officer, and not Advanced Battery. 

On March 30, 2011, Variant View Research, an analyst firm, issued a detailed report revealing the adverse information to the market. On this news, the price of Advanced Battery's stock fell over 40%.

If you are a member of the class, you may, no later than May 31, 2011, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/advancedbattery/, or contact Izard Nobel LLP toll-free: (800)797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.

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