NQ Mobile Inc's eight founding anniversary had little to celebrate last October 25, as the day before the firm was accused of inflating revenues. The manufacturer of security software designed to block hackers for mobile phones, resulted in a 47% stock value drop.

During the celebration, which was held in a Beijing ballroom, NQ Mobile employees wore shirts emblazoned with 'Never Quit', a sales slogan for the company and now may be the reminder for the company to dig in and executives such as co-CEO Omar Khan to defend his company.

Omar Khan said, as he stepped off the stage during the somber celebration, "All of the allegations are false."

The challenge facing the firm is to respond to an Oct. 24 report by Muddy Waters LLC, a research firm which had said the sales projections of the firm were fictitious. As a former salesman for Samsung Electronics Co, he would be finding ways to address the damage inflicted by Carson Block's Muddy Waters advisory. He is trying to avoid to become one of the companies that had their trading halted after the research firm released its reports.