September 12, 2014 (Shareholders Foundation) - An investigation on behalf of investors of 21Vianet Group Inc (NASDAQ:VNET) shares over potential securities laws violations by 21Vianet Group and certain of its directors and officers in connection certain financial statements was announced.

The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of 21Vianet Group Inc (NASDAQ:VNET) concerning whether a series of statements by 21Vianet Group regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

21Vianet Group Inc reported that its annual Total Revenue rose from over $1.02 billion in 2011 to over $1.96 billion in 2013. Shares of 21Vianet Group Inc (NASDAQ:VNET) grew from $8.65 per share to as high as $31.96 per share in July, respectively $31.29 per share in August 2014.

Then on September 10, 2014, a report by Trinity Research Group was published that criticized 21Vianet Group Incs business practices. Specifically, the report alleged that 21Vianet Group Inc's Chinese operations are equivalent to a ponzi scheme. According to a Trinity Research September 2014 121-page report, there is Overwhelming evidence that the company is committing accounting and securities fraud.' The report stated that revenues were being overstated and 21Vianet Group Inc will likely be delisted from the NASDAQ market exchange

Shares of 21Vianet Group Inc (NASDAQ:VNET) declined from $28 per share on September 8, 2014, to as low as $14.23 per share during Septmber 10, 2014.

On September 11, 2014, NASDAQ:VNET shares closed at $15.52 per share.