Wolf Haldenstein Adler Freeman & Herz LLP has initiated legal proceedings against China Liberal Education Holdings Ltd. (OTCMKTS: CLEUF) on behalf of shareholders who sustained losses during a period of significant stock volatility in late January 2025. The lawsuit targets investors who purchased shares between January 22-30, 2025, seeking to recover damages related to alleged market manipulation.
According to the complaint, fraudsters impersonating licensed investment advisors coordinated activity across social media platforms to artificially inflate the company's stock price through a coordinated pump-and-dump scheme. The orchestrated campaign resulted in a substantial stock price decline on January 30, 2025. The litigation alleges that company executives either possessed knowledge of the fraudulent conduct, actively participated in the scheme, or demonstrated severe recklessness in failing to prevent or disclose the fraudulent activity to shareholders.
Investors who experienced losses during the specified period have until March 31, 2026 to register as lead plaintiffs in the class action. The case represents one of several enforcement actions targeting manipulation schemes leveraging social media platforms to influence retail investor activity in publicly traded securities.