"After Fuqi’s auditor discovered these cash transfers, Fuqi was unable to determine the accuracy of the receiving companies’ addresses or whether the companies had any business operations. Id.
In the Press Release, Fuqi told its investors that these transfers had been short-term transactions and that all funds had been transferred back into the company."
Quote from a report published today related to another case against Fuqi brought forward by "Michael Patrick Kelly". The case was dismissed.
It seems the judge is quite understanding of Fuqi's perspective.
"It seems the judge is quite understanding of Fuqi's perspective." Hardly, in fact the court went very far out of its way to be sympathetic to the plaintiff, but unfortunately, the plaintiff was representing himself and did not follow procedural rules to allow the case to survive a motion to dismiss. There are many other cases filed where counsel is engaged for the plaintiffs, so this is far from over. No victory lap is in order for Fuqi and its Chairman.
Yes, the case does not conclude anything yet for Fuqi and I agree that it is far from over. IMO however with Marcum still as their auditor, a law firm such as DLA Piper representing Fuqi and the judge reiterating what has happened in terms of cash transfers, is a further reassurance Fuqi has been honest about it's dealings with all parties and big names are still willing to be linked with the company.