Glancy Binkow & Goldberg LLP, Representing Investors Who Purchased China Electric Motor, Inc., Announces Class Action Lawsuit a

LOS ANGELES--([ BUSINESS WIRE ])--Notice is hereby given that Glancy Binkow & Goldberg LLP has filed a class action lawsuit in the United States District Court for the Central District of California on behalf of a class consisting of all persons or entities who purchased or otherwise acquired the securities of China Electric Motor, Inc. (aCELMa or the aCompanya) (NASDAQ:CELM) pursuant and/or traceable to the Companya�s Registration Statement and Prospectus issued in connection with the Companya�s initial public offering, including CELM securities purchased or acquired between January 29, 2010 and March 30, 2011, inclusive (the aClass Perioda).

A copy of the Complaint is available from the court or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or to obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at [ shareholders@glancylaw.com ], or visit our website at [ http://www.glancylaw.com ].

CELM engages in the design, manufacture, sale and marketing of micro-motors and micro-motor components primarily in the People's Republic of China. The Complaint alleges CELM and certain of its executive officers, among others, misrepresented and/or failed to disclose that: (1) there were discrepancies in the Companya�s banking statements; (2) as a result, the Companya�s financial statements were misstated; (3) the Company lacked adequate internal and financial controls; and (4), as a result of the foregoing, the Companya�s financial statements were materially false and misleading at all relevant times.

On March 31, 2011, the NASDAQ Stock Market unexpectedly announced that it had halted trading in CELMa�s common stock and was requesting additional information from the Company. That same day, CELM disclosed it would be unable to timely file its Annual Report on Form 10-K with the SEC for the 2010 fiscal year because of possible discrepancies identified by CELMa�s auditors concerning the Company's bank statements. CELM further disclosed that the Companya�s Board of Directors had formed a Special Committee to conduct an internal investigation.

Plaintiff seeks to recover damages on behalf of class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting class actions, and substantial expertise in actions involving corporate fraud.

If you are a member of the class described above, you may move the Court, no later than May 31, 2011, to serve as lead plaintiff; however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150 or Toll Free at (888) 773-9224, by e-mail to [ shareholders@glancylaw.com ], or visit our website at [ http://www.glancylaw.com ].

N※N

Glancy Binkow & Goldberg LLP, Representing Investors Who Purchased China Electric Motor, Inc., Announces Class Action Lawsuit a