Bronstein, Gewirtz & Grossman, LLC Announces Investigation of VeriFone Systems, Inc.

NEW YORK, Feb. 25, 2013 /PRNewswire/ -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of the securities of VeriFone Systems, Inc. ("VeriFone" or the "Company") (NYSE: PAY).  The investigation focuses on whether the Company and its executives violated federal securities laws.

On February 21, 2013, shares of VeriFone fell to $17.93, their lowest in nearly three years.  Deutsche Bank, in client note, said that the company had finally admitted it had failed to execute on its plan to move to a more subscriptions-based service model.  In addition the brokerage firm said that past acquisitions had masked what was happening at the company and that it had long been wary of VeriFone's "aggressive accounting recognition."  Deutsche alleged that the recent CFO retirement/resignation and the first-quarter revenue recognition requirements may suggest possible accounting red flags in prior quarters.  Andrew Jeffrey, a SunTrust Robinson Humphrey analyst said, "Management credibility has been lost." He added, "Market share losses are deeper and more persistent than we had previously believed." Other analysts rejected the Company's argument that it came from the weak economy when the global economy has had far less of an impact on VeriFone's competitors such as NCR Corp. or Micros Systems.  

If you are aware of any facts relating to this investigation, or purchased shares of VeriFone, you can assist this investigation by contacting either Peretz Bronstein or Eitan Kimelman of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484 or via email eitan@bgandg.com. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.

Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique.  Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients.  In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate and commercial litigation, as well as securities arbitration.   Attorney advertising. Prior results do not guarantee similar outcomes.

Contact:
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Eitan Kimelman, 212-697-6484
eitan@bgandg.com

 

SOURCE Bronstein, Gewirtz & Grossman, LLC