Following the announcement that by HQ Sustainable Maritime Industries that it postponed the filing of its Form 10-K for the year ended December 31, 2010 an investigation on behalf of investors in HQ Sustainable Maritime Industries, Inc. (AMEX:HQS) over possible violations of Federal Securities Laws and breaches of fiduciary duty was announced.

The investigation by a law firm focuses on breaches of fiduciary duty and other violations of federal securities laws by certain officers and directors at HQ Sustainable Maritime Industries, Inc.

HQ Sustainable Maritime Industries reported increasing revenue from 2006 to 2009. HQ Sustainable Maritime Industries, Inc. reported a 12month Total Revenue of $39.09million in 2006 and $72.29million in 2009. Its Net Income rose from $0.87million in 2006 to $8.10million in 2009. For the first three quarters in 2010 HQ Sustainable Maritime Industries, Inc. reported a combined nine months Total Revenue of $63.25million with a combined nine months Net Income of $9.70million.

However shares of HQ Sustainable Maritime Industries, Inc. traded during 2007 as high as $12.69 per HQS shares and during 2008 as high as over $15 per share. During 2010 HQS shares fell to as low as $2.67 per share.
On March 17, 2011, the company announced that it had postponed the filing of its Form 10-K for the year ended December 31, 2010, due to delays in compiling the information necessary for the preparation of the financial statements. HQ Sustainable Maritime Industries said it expects to complete the audit within approximately 30 days. The value of HQ Sustainable's stock declined from $3.88 on March 15 to $2.87 on March 17.