Federman & Sherwood Announces the Filing of a Securities Class Action Lawsuit against AmTrust Financial Services, Inc.
Oklahoma City, OK (March 6, 2017) – On February 28, 2017, a securities class action lawsuit was filed in the United States District Court for the Central District of California against AmTrust Financial Services, Inc. (NASDAQ: AFSI). The complaint alleges violations of federal securities laws, Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, including allegations of issuing a series of material or false misrepresentations to the market which had the effect of artificially inflating the market price during the Class Period, which is May 10, 2016 through February 24, 2017. More specifically, this litigation was filed because on February 27, 2017, AmTrust disclosed that it had identified a "material weakness in its internal control over financial reporting" and reported that it required additional time to file its 2016 annual financial statements with the SEC. The Company further disclosed that the material weakness "specifically related to ineffective assessment of the risks associated with the financial reporting, and an insufficient complement of corporate accounting and corporate financial reporting resources within the organization."
On this news, the Company’s shares fell $5.32 per share, to close on February 27, 2017 at $22.34 per share.
Plaintiff seeks to recover damages on behalf of all AmTrust Financial Services, Inc. shareholders who purchased common stock during the Class Period and are therefore a member of the Class as described above. You may move the Court no later than Monday, May 1, 2017 to serve as a lead plaintiff for the entire Class. However, in order to do so, you must meet certain legal requirements pursuant to the Private Securities Litigation Reform Act of 1995.
To join this class action, click here to obtain an investor certification. Once complete, please email this form to firstname.lastname@example.org, fax to us at (405) 239-2112 or send by regular mail to Federman & Sherwood, 10205 North Pennsylvania Avenue, Oklahoma City, OK 73120, ATTN: Robin.
Posted on Mon, March 6, 2017
by Nancy Beatty filed under