SUBAYE : The Rosen Law Firm Announces Investigation of Investor Securities Claims Against Subaye, Inc. - SBAY

The Rosen Law Firm, P.A. announces that it is investigating potential securities claims against Subaye, Inc. (NASDAQ: SBAY) resulting from allegations that the Company may have issued materially false financial statements and information to investors.

On April 7, 2011 the Company disclosed more details concerning the resignation of the Company's auditor, PricewaterhouseCoopers Hong Kong ("PwC"). PwC identified matters that may materially impact the fairness or reliability of Subaye's quarterly financial information for the three months ended December 31, 2010 and may cause PwC to be unwilling to rely on managements' representations.

These matters included: (a) "PwC's inability to obtain information and/or supporting documentation to verify cash settlements from sales agents to the Company;" (b) "PwC's inability to obtain information and/or supporting documentation to verify the end customer subscriptions for the Company's services or the services rendered by the Company to the end customers;" (c) "Inadequate documentation to substantiate the marketing and promotion activities performed by sales agents in return for fees paid to such agents and recorded as expenses of the Company;" (d) "Insufficient explanations by the Company regarding certain commonalities between certain customers and vendors;" and (e) "No evidence of any business tax payments by the Company for services rendered in China."

The Rosen Law Firm is preparing a securities class action lawsuit on behalf of Subaye investors to recover investors' losses. If you purchased or acquired Subaye securities on, or at any time prior to, April 7, 2011, please go to the website at http://rosenlegal.com for more information. You may also contact Phillip Kim, Esq. or Jonathan Horne, Esq. of The Rosen Law Firm toll free at 866-767-3653 or via e-mail at [e-mail] or [e-mail].

The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation.

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The Rosen Law Firm, P.A.
Phillip Kim, Esq.
Jonathan Horne, Esq.
275 Madison Avenue 34^th Floor
New York, New York 10016
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