18 April 2008 - American Dairy Inc. filed suit against its former auditors, Murrell Hall Mcintosh & Co. LLP and Henny Wee & Co.
The suit, filed in U.S. District Court in the Western District of Oklahoma, alleges Murrell breached its duties, in part by negligently accepting Henny Wee's representation of independence.
American Dairy, a Beijing producer of infant formula and milk powder, is seeking to recover compensatory damages of no less than $10 million.
Representatives of Murrell, Oklahoma City, weren't immediately available for comment.
Henny Wee is based in Hong Kong.
Shares of American Dairy closed the regular session up 45 cents, or 3.3%, at $13.91.