SAN DIEGO, Feb. 22, 2017 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed in Utah for certain purchasers of shares of USANA Health Sciences, Inc. (NYSE:USNA) over alleged Securities Laws Violations by USANA Health Sciences, Inc.
Investors, who purchased shares of USANA Health Sciences, Inc. (NYSE:USNA) in March 2014 or earlier and currently hold any of those NYSE: USNA shares, have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
On August 16, 2010, USANA Health Sciences, Inc. announced that it had acquired BabyCare Ltd., a China-based manufacturing company that develops and sells nutritional products primarily for infants.
Over the next six years, USANA Health Sciences, Inc. steadily expanded BabyCare Ltd.’s market presence in China.
In February 2013, the Company announced that it had received official government approval from the Ministry of Commerce People’s Republic of China for direct selling activities in the provinces of Jiangsu and Shaanxi, and the municipality of Tianjin.
In May 2016, USANA Health Sciences, Inc. announced Ministry of Commerce People’s Republic of China approval for direct selling activities in the provinces of Liaoning, Shandong, Shanxi, Sichuan, and Guangdong, as well as the municipalities of Dalian, Qingdao, and Shenzhen.
The plaintiff claims that the defendants made false and/or misleading statements and/or failed to disclose that the Company’s BabyCare subsidiary had engaged in improper reimbursement practices in China, that these practices constituted violations of the Foreign Corrupt Practices Act (“FCPA”), that as such, the Company’s China revenues were in part the product of unlawful conduct and unlikely to be sustainable, that the foregoing conduct, when it became known, was likely to subject the Company to significant regulatory scrutiny, and that as a result of the foregoing, USANA Health Sciences’ public statements were materially false and misleading at all relevant times.
On February 7, 2017, USANA Health Sciences, Inc. disclosed that "[t]he Company is voluntarily conducting an internal investigation of its China operations, BabyCare Ltd. . . . focus[ing] on the compliance with the Foreign Corrupt Practices Act . . . and certain conduct and policies at BabyCare, including BabyCare's expense reimbursement policies."
Those who purchased shares of USANA Health Sciences, Inc. (NYSE:USNA) in March 2014 or earlier and currently hold any of those NYSE: USNA shares should contact the Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.