NEW YORK, June 10, 2010 (GLOBE NEWSWIRE) -- Pomerantz Haudek Grossman & Gross LLP (www.pomerantzlaw.com) ("Pomerantz") has filed a class action lawsuit in the United States District Court for the Southern District of New York against Canadian Solar Inc. ("Canadian Solar") (Nasdaq:CSIQ) and certain of its top officials. The class action (Civil Action No.: 10-cv-4562) was filed on behalf of purchasers of Canadian Solar securities between May 26, 2009 and June 1, 2010, both dates inclusive, (the "Class Period"). The Complaint alleges violations of Sections 10(b) and 20(a) of the Securities Exchange Act and Rule 10b-5 promulgated thereunder.
Canadian Solar, one of the world's largest solar companies, designs, manufactures and delivers solar products and solar system solutions for on-grid and off-grid use to customers worldwide. The Complaint alleges that throughout the Class Period, defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, the Complaint alleges that defendants made false and/or misleading statements and/or failed to disclose: (1) that the Company's financial results were overstated, as the Company had recorded revenue from sales for which it had not been paid; (2) that certain goods had been returned after the end of the fourth quarter of 2009; (3) that the Company's internal and disclosure controls with respect to its revenue recognition policy were materially deficient; (4) as a result of the foregoing, Canadian Solar's financial statements were not fairly presented in conformity with United States Generally Accepted Accounting Principles ("GAAP"), and were materially false and misleading; and (5) based on the foregoing, defendants lacked a basis for their positive statements about the Company, its prospects and growth.
On June 1, 2010, defendants disclosed that, as a result of the commencement of an investigation by the Company's Audit Committee, the Company was postponing the release of its financial results for the first quarter ended March 31, 2010. Defendants further disclosed that the investigation was launched after the Company received a subpoena from the Securities and Exchange Commission requesting documents from the Company relating to, among other things, certain sales transactions in 2009. As a result of this revelation, Canadian Solar securities fell $1.69, or 14%.
If you are a shareholder who purchased the securities of Canadian Solar during the Class Period, you have until August 2, 2010 to ask the Court to appoint you as lead plaintiff for the class. Shareholders outside the United States may join the action, regardless of where they live or which exchange was used to purchase the securities. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Nicola Brown at 888-476-6529 toll free or email info@Pomlaw.com. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
The Pomerantz Firm, with offices in New York, Chicago, Washington, D.C., Columbus, Ohio and Burlingame, California, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members.