Friday, November 11, 2011

SEC Charges China-Based Longtop Financial Technologies for Deficient Filings

The SEC's Division of Enforcement charged China-based Longtop Financial Technologies Limited with failing to file current and accurate financial reports with the SEC. The Division of Enforcement alleges that Longtop failed to comply with its reporting obligations after failing to file an annual report for its fiscal year that ended March 31, 2011. Furthermore, Longtop’s independent auditor stated in May 2011 that its prior audit reports on Longtop’s financial statements contained in annual reports for 2008, 2009 and 2010 should no longer be relied upon.

Antonia Chion, Associate Director of the SEC’s Division of Enforcement said, “We are taking this action to protect investors because it appears there is no current and reliable information available to the investing public about Longtop."

If the administrative law judge revokes the registration of Longtop’s securities, no broker-dealer may execute any trades in those securities. This would also abolish Longtop as a public shell company so that it could not be sold and used as a vehicle for future fraud.

SEC Charges China-Based Longtop Financial Technologies for Deficient Filings
Post a Comment