An investigation for investors in NASDAQ:ABIL shares concerning potential breaches of fiduciary duties by certain directors and officers of Ability Inc was announced.
Investors who are current long term investors in Ability Inc (NASDAQ:ABIL) shares, have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.
The investigation by a law firm for current long term investors in NASDAQ:ABIL stocks follows a lawsuit filed recently against Ability Inc over alleged securities laws violations. The investigation on behalf of current long term investors in NASDAQ:ABIL stocks, concerns whether certain Ability officers and directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for the Southern District of New York the plaintiff alleges that the defendants issued false and misleading statements to investors and/or failed to disclose that Ability materially overstated its income by failing to account for commissions, that Ability materially overstated its operating results by improperly recognizing revenue on multiple element sales transactions, that Ability has material weaknesses in its internal controls and that as a result of the foregoing, Ability’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.
On May 2, 2016, Ability Inc (NASDAQ:ABIL) released an annual report on Form 20-F disclosing that it would be restating its financial results for the two years ending December 31, 2014. Ability Inc admitted that it improperly allocated and timed its revenue recognition, and failed to recognize commissions due to a third party.
Shares of Ability Inc (NASDAQ:ABIL) declined to as low as $2.77 per share on May 6, 2016.
Those who purchased NASDAQ:ABIL shares have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com