Levi & Korsinsky announces the commencement of a class action lawsuit in the U.S. District Court for the Southern District of New York on behalf of shareholders of Celadon Group Inc. (NYSE : CGI) who purchased shares between January 27, 2016 and May 2, 2017.
The complaint alleges that throughout the Class Period defendants made false and/or misleading statements and/or failed to disclose that: (i) CGI's equity contribution to its joint venture with Element Financial Corp. was $68.2 million, rather than the $100 million contribution the Company reported in its public filings; (ii) the Company is being actively investigated by the SEC; (iii) CGI’s financial statements for the fiscal year ended June 30, 2016 and the quarter ended September 30, 2016 could not be relied upon; (iv) that as a result of the foregoing, CGI's publicly disseminated financial statements were materially false and misleading.
On April 5, 2017 a report issued by Prescience Point Research Group charged that "CGI has used off-balance sheet entities…and manipulative accounting practices to hide its insolvent condition from investors and creditors." Then on April 19, 2017, Prescience Point Research published another report in which they provided correspondence from the SEC indicating that CGI was under investigation.
If you suffered a loss in Celadon Group Inc. you have until June 19, 2017 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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