PDF

Hebron Technology Co., Ltd. Class Action Lawsuit

Case Summary

Company Name
Hebron Technology Co., Ltd.
Stock Symbol
HEBT
Class Period
April 24, 2020 to June 3, 2020
Court
Southern District of New York

The Hebron Technology Co., Ltd. class action lawsuit charges Hebron Technology and certain of its officers with violations of the Securities Exchange Act of 1934 and seeks to represent purchasers of Hebron Technology securities between April 24, 2020 and June 3, 2020 (the “Class Period”).  The Hebron Technology class action lawsuit was commenced on June 9, 2020 in the Southern District of New York and is captioned Clynes v. Hebron Technology Co., Ltd., No. 20-cv-04420.

Hebron Technology conducts equipment and engineering service operations focused on the research, development, and manufacture of fluid equipment, including valves and pipe fittings.

The Hebron Technology class action lawsuit alleges that defendants made false and/or misleading statements and/or failed to disclose that: (1) many of Hebron Technology’s acquisitions, including Beijing Hengpu and Nami Holding (Cayman) Co., Ltd., involved undisclosed related parties; (2) Hebron Technology’s disclosure controls regarding related-party transactions were ineffective; and (3) as a result of the foregoing, defendants’ positive statements about Hebron Technology’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

On June 3, 2020, Grizzly Research issued a report alleging Hebron Technology was an “insider enrichment scheme without economic basis,” citing questionable transactions, including an undisclosed related-party transaction for nearly $26 million.  On this news, Hebron Technology’s share price fell nearly 37%.  The stock continued its decline, falling another nearly 18% the next trading session.

Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities class action litigation.  With 200 lawyers in 9 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history.  For seven consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in the world in both amount recovered for shareholders and total number of class action settlements.  Robbins Geller attorneys have helped shape the securities laws and have recovered tens of billions of dollars on behalf of aggrieved victims.  Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide.  Robbins Geller attorneys are consistently recognized by courts, professional organizations and the media as leading lawyers in the industry.

Class Period: April 24, 2020 - June 3, 2020
Main Menu