Federman & Sherwood Announces the Filing of a Securities Class Action Lawsuit against The Hain Celestial Group, Inc.
Oklahoma City, OK (August 22, 2016) – On August 17, 2016, a securities class action lawsuit was filed in the United States District Court for the Eastern District of New York against The Hain Celestial Group, Inc. (NASDAQ: HAIN). 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 November 5, 2015 through August 15, 2016. More specifically, this litigation was filed because Defendants made false and misleading statements and/or failed to disclose material adverse facts, including that: (1) Hain did not have sufficient controls over financial reporting; and (2) Hain failed to properly account for its revenue in connection with certain US distributors.
On August 15, 2016, after the market closed, Hain announced that it would delay the release of its fourth quarter and fiscal year 2016 financial results because the Company was evaluating whether the revenue associated with concessions granted to certain distributors in the U.S. was accounted for in the correct period. Hain also stated that it was evaluating its internal control over financial reporting.
On this news, shares of Hain dropped over 26%, closing at $39.35 per share on August 16, 2016, on heavy trading volume.
Plaintiff seeks to recover damages on behalf of all The Hain Celestial Group, 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, October 17, 2016 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, August 22, 2016
by Robin Hester filed under