Robbins LLP: Electronics For Imaging, Inc. (EFII) Misled Shareholders According to a Recently Filed Class Action
Robbins LLP announces that a class action complaint was filed against Electronics For Imaging, Inc. (NasdaqGS: EFII) in the U.S. District Court for the District of New Jersey. The complaint is brought on behalf of all purchasers of Electronics For Imaging securities between February 22, 2017 and August 3, 2017, for alleged violations of the Securities Exchange Act of 1934 by Electronics For Imaging’s officers and directors. Electronics For Imaging provides industrial format display graphics, label and packaging, textile, and ceramic tile decoration digital inkjet printers worldwide.
Electronics For Imaging Accused of Improperly Recognizing Revenue
According to the complaint, Electronics For Imaging submitted several filings with the U.S. Securities and Exchange Commission attesting to the accuracy of financial reporting, the disclosure of any material changes to the company’s internal controls over financial reporting, and the disclosure of all fraud. However, Electronics For Imaging officials failed to disclose that the company was improperly recognizing revenue and that its disclosure controls and procedures, as well as its internal control over financial reporting, were ineffective. On August 3, 2017, the company revealed a delay in releasing its second quarter 2017 preliminary results due to an internal investigation concerning its accounting practices. The company further revealed that it consequently expects to report a material weakness in internal control over financial reporting. On this news, Electronics For Imaging’s stock fell $21.61 per share, or over 45%, to close at $26.05 per share on August 4, 2017.
Electronics For Imaging Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003, or you can complete the form below and we will contact you directly.