US court postpones Chinese wind turbine tower maker lawsuit hearing
28 Jan 2012
A US federal court has postponed hearing a lawsuit filed by CleanTech Innovations Inc against Nasdaq OMX Group Inc for delisting the Chinese wind turbine tower maker last year for alleged racial discrimination.
The trial, originally scheduled to start on 26 January, is expected to open soon, CleanTech's president and chairman Lu Bei yesterday said.
CleanTech, which describes itself as a "highly profitable US company, had in January last year sued Nasdaq for $300 million in damages after the bourse operator moved to delist its shares, which amounted to racial profiling.
Based in Liaoning province, China and incorporated in Nevada, CleanTech claims that the delisting caused "irreparable harm" to the company's reputation and led to its market value losing more than $220 million with its share price plunging from $9 to less than 70 cents.
Nasdaq exchange officials claim that CleanTech tapped US public markets via a reverse-merger transaction and intentionally offered false information.
Reverse mergers are common in the US where overseas companies acquire an existing, publicly traded US shell company in order to gain a stock exchange listing and access capital in the US.
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