June 4 Chinese mobile security software maker NQ
Mobile Inc said a special committee had found no evidence
of fraud, as alleged by short-seller Muddy Waters Research
NQ Mobile's shares rose about 30 percent in premarket
NQ Mobile also said the committee also found no evidence
that the company's revenues and cash balances were inconsistent
with public disclosures.
Muddy Waters called NQ Mobile a "massive fraud" in October,
a charge NQ Mobile rejected as false.
Short-sellers make money when the stock price of a company
drops. They sell borrowed shares in the hope of buying them back
at a lower price, returning them to the lender, and gaining from
(Reporting by Soham Chatterjee in Bangalore; Editing by Kirti