SAN FRANCISCO, July 10, 2019 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, with nine offices in eight cities around the country and eighty attorneys, alerts investors in Intelligent Systems Corporation (NYSE: INS) to the securities class action, Skrzeczkoski v. Intelligent Systems Corporation et al., No. 1:19-cv-03949, filed in the U.S. District Court for the Eastern District of New York.
If you purchased or otherwise acquired INS securities between January 23, 2019 and May 29, 2019 (the “Class Period”) and suffered losses you do not need to sign up to be included in the putative class of investors.
If you suffered significant losses (in excess of $50,000), you may qualify to be a lead plaintiff – one who selects and oversees the attorneys prosecuting the case. If you wish to serve as a lead plaintiff in this class action, you must move the Court no later than September 9, 2019 (the “Lead Plaintiff Deadline”). Contact Hagens Berman immediately for more information about the case and being a lead plaintiff:
https://www.hbsslaw.com/hagens-berman-investor-fraud-center/intelligent-systems-corporation-nyse-ins
or contact Reed Kathrein, who is leading the firm’s investigation, by calling 510-725-3000 or emailing
According to the complaint, Defendants misled investors about the purported “financial expertise” and independence of Parker H. Petit, a Director and member of Intelligent Systems’ Audit Committee. In addition, Defendants allegedly inflated revenue and siphoned money out of the Company by orchestrating an elaborate undisclosed related-party transaction scheme.
Beginning on May 24, 2019, the market learned the truth about Defendants’ misrepresentations when it was revealed through a series of disclosures that: (1) Petit, the Company’s “financial expert”, had engaged in an egregious accounting fraud while serving as CEO of MiMedx Group, Inc.; (2) INS’s CEO J. Leland Strange had engaged in undisclosed related-party transactions with Petit and others and had an undisclosed personal relationship with the Company’s auditor; and (3) INS employees had set up or took control of shell companies in Asia so they could partake in undisclosed related-party transactions to inflate INS’s revenues and siphon money from the Company. These disclosures caused INS’s share price to decline significantly, thereby injuring INS investors.
“We’re focused on investors’ losses and whether Defendants engaged in a massive accounting fraud facilitated by compromised Directors, Officers, employees and auditors of the Company,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding INS should consider their options to help in the lawsuit or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email INS@hbsslaw.com.
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Contact:
Reed Kathrein, 510-725-3000