STEVENSON, Md., March 7, 2014 (GLOBE NEWSWIRE) -- Brower Piven, A Professional Corporation announces that a class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of purchasers of AmTrust Financial Services, Inc. ("AmTrust" or the "Company") (Nasdaq:AFSI) securities during the period between February 15, 2011 and December 11, 2013, inclusive (the "Class Period").
If you have suffered a net loss from investment in AmTrust Financial Services, Inc. securities purchased on or after February 15, 2011 and held through the revelation of negative information on December 12, 2013, as described below, you may obtain additional information about this lawsuit and your ability to become a lead plaintiff, at no cost to you, by contacting Brower Piven at www.browerpiven.com, by email at hoffman@browerpiven.com, by calling 410/415-6616, or at Brower Piven, A Professional Corporation, 1925 Old Valley Road, Stevenson, Maryland 21153. Attorneys at Brower Piven have combined experience litigating securities and class action cases of over 60 years.
No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff no later than April 7, 2014 and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in Company units during the Class Period.
The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the defendants' failure to disclose during the Class Period that the Company manipulated its loan loss reserves, underestimated the discount rates for its life settlement contracts, and deferred tax liabilities to inflate the reported financials and that the Company lacked adequate internal and financial controls. According to the complaint, following the publication of a report issued by an analyst firm on December 12, 2013 exposing the undisclosed accounting improprieties at the Company, the value of AmTrust stock declined significantly.
If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need take no action at this time to be a member of the class.