Kandi Tech Defeats Allegations It Misled Investors on Finances

Kandi Technologies Group Inc. is free of an investor suit accusing it of falsely reporting financial results and misrepresenting its internal controls, after a federal judge in New York dismissed the case.

The electric vehicle company’s investors sued in 2020 after short sellers accused it of faking sales. But the would-be class didn’t properly allege that Kandi intended to deceive them about the accuracy of its financial results and efficacy of its internal controls, the U.S. District Court for the Southern District of New York said.

The complaint “fails to plead scienter on the part of any Defendant for ...