NEW YORK, June 05, 2015 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of all persons or entities who purchased Toshiba Corporation (“Toshiba” or the “Company”) (OTC:TOSYY) (OTC:TOSBF) securities between May 8, 2012 and May 7, 2015, inclusive (“Class Period”), alleging violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
The Complaint alleges that the Company committed securities fraud by misleading investors regarding the total amounts of costs for certain infrastructure projects; thereby manipulating the profits and losses for these infrastructure projects as well as misguiding investors regarding the timing in which such contract losses and provisions for contract losses were recorded. As a result, Toshiba’s financial statements were materially false and misleading during the Class Period.
On May 8, 2015, the Company announced that it was withdrawing its earnings forecasts and will not pay a year-end dividend after finding improper accounting on infrastructure projects. The Company also announced that an independent committee has been formed to investigate the accounting problems. On this news the Company’s shares declined sharply in value.
If you wish to serve as lead plaintiff, you must move the Court no later than August 3, 2015. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation, or to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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