Company: Natural Health Trends Corp.
Class Period: April 27, 2016 — January 5, 2019
Court: U.S.D.C. – Central District of California
Deadline: March 11, 2019
Kaskela Law LLC announces that a shareholder class action lawsuit has been filed against Natural Health Trends Corp. (“Natural Health Trends” or the “Company”) (NASDAQ: NHTC) on behalf of purchasers of the Company’s common stock between April 27, 2016 and January 5, 2019, inclusive (the “Class Period”).
The class action complaint alleges that defendants made materially false and misleading statements during the Class Period, and failed to disclose to investors that: (i) Natural Health Trends was operating as a pyramid scheme in China, which is contrary to Chinese law; (ii) consequently, Natural Health Trends was not in compliance with applicable Chinese law; and (iii) as a result, Defendants’ statements about Natural Health Trends’ business, operations, and prospects, were false and misleading and/or lacked a reasonable basis at all relevant times.
As further detailed in the complaint, on January 7, 2019, GeoInvesting reported that China Central Television, a prominent state television broadcaster in China, aired an exposé asserting that Natural Health Trends was operating as a pyramid scheme in China, contrary to Chinese law. Following this news, shares of the Company’s stock fell $4.89 per share, or nearly 25% in value, to close on January 7, 2019 at $14.88 per share, on heavy trading volume.
IMPORTANT DEADLINE: Investors who purchased Natural Health Trends’ common stock during the Class Period may, no later than March 11, 2019, seek to be appointed as a lead plaintiff representative of the investor class.
Investors who purchased the Company’s common stock during the Class Period are encouraged to contact Kaskela Law LLC at (888) 715 – 1740 to discuss their legal rights and options, or complete the information form on this page to receive additional information about the action.