Former OST CFO Qiaoyun Xie Accused of Overseeing $950M Pump-and-Dump Scheme

Levi & Korsinsky, LLP files securities class action alleging Xie certified fraudulent financials

Apr. 13, 2026 at 7:45pm

Got story updates? Submit your updates here. ›

A high-contrast, cinematic close-up of intricate financial machinery and ledgers, conveying a sense of institutional power and the gravity of the allegations against the former CFO.The case against former OST CFO Qiaoyun Xie highlights the personal liability corporate executives face for financial reporting and disclosure.NYC Today

Levi & Korsinsky, LLP has filed a securities class action lawsuit against Qiaoyun Xie, the former Chief Financial Officer of Ostin Technology Group Co., Ltd. (Nasdaq: OST). The lawsuit alleges that Xie knew or recklessly disregarded that two securities offerings were part of a fraudulent pump-and-dump scheme that destroyed over $950 million in shareholder value.

Why it matters

This case highlights the importance of individual accountability for corporate executives, especially those responsible for financial reporting and disclosure. As CFO, Xie's Sarbanes-Oxley certifications made her personally liable for the accuracy of OST's financial statements during a period of alleged manipulation.

The details

The complaint alleges that as CFO, Xie had access to material non-public information about OST's securities offerings and share issuances, which placed approximately 80 million shares in the hands of co-conspirators at an effective cost of $0.0625 per share while the stock was trading at much higher prices. Xie is accused of signing Sarbanes-Oxley certifications attesting to the accuracy of OST's financial disclosures, even as the company's market capitalization surged from $22 million to over $1 billion despite declining revenues and mounting losses.

  • Xie has served as OST's CFO since June 2020.
  • The class period is from May 11, 2025, to June 26, 2025.
  • OST's stock price collapsed 94.1% on June 26, 2025, falling from $9.40 to $0.55 per share.

The players

Qiaoyun Xie

Former Chief Financial Officer of Ostin Technology Group Co., Ltd. (Nasdaq: OST) who is named as a defendant in a securities class action lawsuit.

Ostin Technology Group Co., Ltd. (OST)

A Nasdaq-listed company that allegedly engaged in a fraudulent pump-and-dump scheme that destroyed over $950 million in shareholder value.

Levi & Korsinsky, LLP

A top 50 securities litigation firm that has filed the class action lawsuit against Qiaoyun Xie and OST.

Got photos? Submit your photos here. ›

What they’re saying

“Individual officers who sign SEC certifications bear personal responsibility for the accuracy of corporate disclosures. When a CFO certifies financial statements during a period of alleged manipulation of this magnitude, serious questions arise about what she knew and when she knew it.”

— Joseph E. Levi, Attorney, Levi & Korsinsky, LLP

What’s next

The judge will determine if the case can proceed as a class action lawsuit, which would allow other investors who purchased OST shares during the class period and suffered losses to potentially join the case.

The takeaway

This case underscores the importance of corporate executives being held accountable for their actions, especially when it comes to financial reporting and disclosure. As CFO, Xie's Sarbanes-Oxley certifications made her personally liable for the accuracy of OST's financial statements, and the allegations suggest she may have failed to fulfill that responsibility.