WILMINGTON, Del., June 09, 2016 (GLOBE NEWSWIRE) -- Rigrodsky & Long, P.A.:
- Do you, or did you, own shares of Ability Inc. (NASDAQ:ABIL)?
- Did you purchase your shares between September 8, 2015 and April 29, 2016, inclusive?
- Did you lose money in your investment?
Rigrodsky & Long, P.A. announces that a complaint has been filed in the United States District Court for the Southern District of New York on behalf of all persons or entities that purchased the common stock of Ability Inc. (“Ability” or the “Company”) (NASDAQ:ABIL) between September 8, 2015 and April 29, 2016, inclusive (the “Class Period”), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the “Complaint”).
If you purchased shares of Ability during the Class Period, and wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact Timothy J. MacFall, Esquire or Peter Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway, Suite 120, Wilmington, DE 19803 at (888) 969-4242; by e-mail to info@rl-legal.com; or at: http://rigrodskylong.com/investigations/ability-inc-abil.
The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company’s business, operations and prospects. Specifically, the Complaint alleges that the defendants concealed from the investing public that: (1) the Company had materially overstated its income by failing to account for commissions; (2) the Company had materially overstated its operating results by improperly recognizing revenue on multiple element sales transactions; (3) the Company had materially overstated its income by failing to account for commissions due to a third party; (4) the Company had a material weakness in its internal controls over financial reporting and disclosure controls and that such controls were ineffective; and (5) as a result of the foregoing, the Company's financial statements for the years ending December 31, 2013 and 2014 were materially false and misleading and not prepared in accordance with U.S. Generally Accepted Accounting Principles. As a result of defendants’ alleged false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on May 2, 2016, Ability issued a press release announcing its financial results for the fourth quarter and full-year of 2015, the period ending December 31, 2015. The Company also announced that it would be restating its consolidated financial statements as of “December 31, 2014 and for the two years in the period then ended and as of June 30 and September 30 in 2015 and 2014 and for the six and nine month periods then ended, respectively[.]”
On this news, shares of Ability dropped over 33%, closing at $4.90 per share on May 2, 2016, on heavy trading volume.
If you wish to serve as lead plaintiff, you must move the Court no later than July 25, 2016. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Any member of the proposed class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
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