An investigation was announced for investors in NASDAQ:CSII shares over possible breaches of fiduciary duties by certain Cardiovascular Systems directors.
Investors who are current long term investors in Cardiovascular Systems Inc (NASDAQ:CSII) 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 concerns whether certain Cardiovascular Systems Inc directors breached their fiduciary duties and caused damage to the company and its shareholders.
In May 2014Cardiovascular Systems Inc disclosed that it had received a letter on May 8, 2014 from the U.S. Attorney’s Office for the Western District of North Carolina stating that the Company is being investigated for possible violations of the False Claims Act , resulting in the submission of false claims to federal and state health care programs, including Medicare and Medicaid.
In July 2015 Cardiovascular Systems Inc disclosed that a whistleblower lawsuit filed in 2013 had been unsealed. The lawsuit, brought by a former sales manager of Cardiovascular Systems Inc, alleged that Cardiovascular Systems Inc engaged in a fraudulent marketing scheme to maximize profits through illegal kickbacks, off-label promotion, and violations of federal laws and regulations. The lawsuit alleges several schemes to drive up sales, including “kickbacks” in which doctors were sent on all-expense-paid trips for training seminars in fancy settings and then told to use Cardiovascular Systems Inc devices on their next five or ten cases.
In February 2016 a lawsuit was filed against Cardiovascular Systems Inc over alleged securities laws violations. The plaintiff alleged that the defendants issued allegedly false and misleading statements to investors and/or allegedly failed to disclose that Cardiovascular Systems distributed illegal kickbacks to health care providers, that Cardiovascular Systems engaged in the off-label promotion of its medical devices, and that Cardiovascular Systems violated FDA laws and regulations in connection with its medical devices.
Those who purchased NASDAQ:CSII 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