Archives: Cases

According to the Complaint, the Company made false and misleading statements to the market. Edison did not maintain safe electrical transmission equipment in line with safety rules and regulations in accordance with state law. The Company’s unsafe equipment created an increased risk of causing wildfires in California. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Edison, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Nissan understated its expenses by hiding half of former Chairman and CEO Carlos Ghosn’s compensation. By not reporting this compensation, the Company was able to overstate profits, and avoid investor scrutiny of Ghosn’s extremely large compensation package. Ghosn’s compensation was underreported over the last decade by an amount estimated at almost $90 million USD. Nissan also failed to inform investors about the poor internal controls that allowed the deceptive compensation practices to be put in place. At the same time, it ignored the advice of outside auditors who advised the Company to put proper controls in place. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Nissan, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Tesaro’s liquid assets were not sufficient to fund operations and meet all cash flow requirements, despite completing a public offering of stock in early July 2016. As a result of this liquidity shortfall, the Company planned another offering of stock just four months later. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Tesaro, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. McDermott failed to inform investors that it was facing stiff competition and market factors likely to result in missing revenue and profit estimates. At the same time, the Company was having problems integrating with Chicago Bridge & Iron. The CB&I projects were likely to run over budget with higher expenses than anticipated, which were likely to materially impact the value of the projects. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about McDermott, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Alkermes was advised by the FDA to use a specific protocol with its New Drug Application submission for ALKS 5461. The Company subsequently failed to follow the protocol. After reviewing the submission, an FDA advisory committee decided in a 21 to 2 vote against approving ALKS 5461. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Alkermes, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. McKesson colluded with other companies in the market to fix the price of generic drugs. This collusion violated federal antitrust laws. McKesson’s revenues throughout the class period were in part the result of illegal activities and were therefore unsustainable. The Company also failed to maintain effective controls on financial reporting. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about McKesson, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Ribbon would fall far short of its $74 million revenue forecast. The Company knew the forecast was unrealistic and unreachable. Ribbon “pulled” sales from 2015 into Q4 2014 to bolster sales reports, leaving the sales to be recognized in Q1 2015 lower than normal. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Ribbon, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Ryanair’s labor relations continued to worsen throughout the summer of 2018, despite the Company claiming that it had improved the situation. Ryanair admitted on July 23, 2018, that profits had dipped 20% due to a 34% increase in staffing costs. The Company revealed on October 1, 2018, that strikes and flight cancellations affecting hundreds of thousands of customers caused cost increases to the point that the Company could not meet its profit projections. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Ryanair, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. MoneyGram had knowledge of a high level of fraud involving the Company’s money transfer system over a span of years. The Company failed to put appropriate anti-fraud measures in place, partially motivated by a desire to protect revenue growth. This activity resulted in scrutiny from the FTC and the DOJ, which both took action against MoneyGram. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about MoneyGram, investors suffered damages.

According to the Complaint, the Company made false and misleading statements to the market. Evoqua failed to successfully integrate companies it acquired. The Company also experienced significant supply chain problems due to tariffs and delays on an aquatics project. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. When the market learned the truth about Evoqua, investors suffered damages.