A class action has been filed in the United States District Court for the Southern District of New York on behalf of a class (the “Class”) of investors who purchased China Valves Technology, Inc. (NASDAQ: CVVT) common stock between the period of January 12, 2010 through January 13, 2011.

The Complaint alleges China Valves and certain of its officers and directors with violating the federal securities laws by making false and misleading statements related to their acquisition of Changsha Valve Company, and Shanghai Pudong Hanwei Valve Co., Ltd. Specifically, the Complaint alleges that defendants failed to disclose that both acquisitions involved payments to entities or persons that were related to management at China Valves, in violation of GAAP and U.S. Securities and Exchange Commission regulations. The Company also overstated the business prospects and financial conditions of those same acquisitions.

On January 13, 2011, Citron Research published an online report that China Valves may be delisted from NASDAQ as it faces increased regulatory scrutiny over certain buyouts. Specifically, Citron Research stated that the financial results of Changsha Valve, an acquisition China Valves had made in 2010, have been overstated and that the acquisition was an improper related party transaction. In a reaction to this news, shares of CVVT common stock fell $1.57 per share to close on January 13, 2011 at $7.15 per share, representing a drop of 18%.

If you are a current shareholder and purchased during the period January 12, 2010 through January 13, 2011, and would like to discuss your options of exercising your rights as a shareholder, please contact us.

Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.