An investigation on behalf of investors in shares of China Automotive Systems, Inc. (NASDAQ:CAAS) over possible breaches of fiduciary duty was announced.

The investigation by a law firm focuses on possible breaches of fiduciary duty and other violations of the law by certain officers and directors at China Automotive Systems, Inc. (NASDAQ: CAAS).
China Automotive Systems 12months Total Revenue increased from $95.77million in 2006 to $255.60million in 2009. Its Net Income rose from $4.81million in 2006 to $23.41million in 2009. For the first three quarters in 2010 China Automotive Systems, Inc. reported a combined nine months Total Revenue of $245.41million with a combined nine months Net Income of $27.70million.

CAAS shares traded during 2006 as high as$13.85 per share but fell during 2008 to $2.05 before increasing to as high as $24.48 on January 8, 2010. Since then CAAS shares lost value and recently fell from slightly above $10 to under $8.50 on March 17 after China Automotive Systems, Inc. announced that it expects to restate its previously issued financial statements for fiscal year 2009 and the first three quarters of fiscal year 2010 to reflect non-cash gains or losses related to the accounting treatment for the Company's convertible notes issued on February 15, 2008 based on the guidance outlined in Accounting Standard Codification (ASC) 815.