Alibaba pays $250 millionto settle lawsuit over pre-IPO counterfeiting warning
Alibaba Group Holding Ltd said on Monday it will pay $250 million to settle a U.S. lawsuit faulting the Chinese e-commerce company for concealing a regulatory warning about its ability to stop counterfeiting before it went public in 2014.
The lawsuit accused Alibaba of securities fraud for failing to disclose it had met with China`s State Administration for Industry and Commerce on July 16, 2014, two months before the company`s $25 billion initial public offering. Image source: Reuters