Welcome to the NQ Mobile Securities Litigation Website

This website has been established to provide general information related to the proposed settlement of the NQ Mobile Securities Litigation (the "Settlement").  The capitalized terms used on this website, and not defined herein, shall have the same meanings ascribed to them in the Stipulation and Agreement of Settlement dated October 8, 2015 (the "Stipulation"), which can be found and downloaded by clicking on the Case Documents tab above.  This is a securities class action, and the case is known as In re NQ Mobile, Inc. Securities Litigation, No. 1:13-cv-07608-WHP, pending before the Honorable William H. Pauley lll, at the United States District Court for the Southern District of New York (the “Court”).  Please be advised that your rights may be affected, if during the period from March 6, 2013 and July 3, 2014, inclusive (the "Class Period"), you purchased or otherwise acquired American Depositary Shares of NQ Mobile ("NQ" or the "Company").

As more fully described in the Notice of Proposed Settlement of Class Action (the "Notice"), the first of a series of class action complaints was filed on October 28, 2013 against NQ and various other defendants alleging that they had violated the federal securities laws by disseminating materially false or misleading information about the Company, its products and performance.  The Court consolidated the various related class actions that had been brought and renamed the consolidated action “In re NQ Mobile, Inc. Securities Litigation".

On July 21, 2014, Lead Plaintiffs filed their Consolidated Class Action Complaint against defendants NQ, Henry Yu Lin, Omar Sharif Khan, Wenyong “Vincent” Shi, Suhai Ji, and K.B. Teo (collectively referred to herein as the “Settling Defendants” or “NQ Defendants”).  Also named as defendants were PricewaterhouseCoopers Zhong Tian LLP (“PwC-ZT”) and PricewaterhouseCoopers International Limited (“PwC-IL,” which, together with PwC-ZT, are collectively referred to herein as the “Auditor Defendants”). Lead Plaintiffs alleged, inter alia, that the Settling Defendants participated in a fraudulent scheme whereby they caused NQ to report: (a) inflated revenue from within China; (b) inflated revenue from its international (non-Chinese) operations; (c) inflated market share data; and (d) inflated cash and cash equivalent balances; and had also (e) fraudulently failed to disclose material vulnerabilities and defects in NQ’s security software product offerings. Eventually, the two Auditor Defendants, PsW-IL and PwC-ZT, were dismissed from the lawsuit and are not parties to the Settlement.

During the course of the litigation, the Settling Defendants and Lead Plaintiffs agreed to enter into a mediation process under the auspices of a highly experienced and respected mediator, Robert Meyer, Esq., of Loeb & Loeb LLP.  In connection with that mediation process, the Settling Defendants and Lead Plaintiffs exchanged mediation briefs and certain other materials in mid-February 2015, and shortly thereafter engaged in a full day, face-to-face mediation in New York that was conducted by the Mediator.  At the end of this full day mediation session, Lead Plaintiffs and the Settling Defendants were able to reach an agreement to settle the claims asserted against the Settling Defendants for $5.1 million in cash.  The Court was informed of the Settlement on March 3, 2015. 

In the Settlement, NQ has agreed to pay US $5,100,000 in cash, which will be deposited in an interest-bearing escrow account for the benefit of the Class (the “Settlement Fund”).  The Settlement Fund will be divided, after deduction of court-awarded attorneys’ fees and expenses, settlement administration costs and any applicable taxes, among all Class Members who timely submit valid proofs of claim that are accepted for payment by the Court.

The Court appointed the law firm of Scott + Scott, Attorneys at Law, LLP to represent you and other Class Members. These lawyers are called Lead Counsel.  You will not be separately charged for these lawyers. The Court will determine the amount of Lead Counsel’s fees and expenses.  Any fees and expenses awarded by the Court will be paid from the Settlement Fund.  If you want to be represented by your own lawyer, you may hire one at your own expense.

Although the information in this website is intended to assist you, it does not replace the information contained in the Notice and Stipulation, both of which can be found and downloaded by clicking on the Case Documents tab above.  We recommend that you read the Notice and other relevant case documents carefully.

YOUR LEGAL RIGHTS AND OPTIONS IN THIS SETTLEMENT

DEADLINES