NEW YORK, Feb. 26, 2016 /PRNewswire/ -- WeissLaw LLP, a national class action, shareholder rights law firm with offices in New York and Los Angeles, announces an investigation of ERBA Diagnostics, Inc. ("ERB" or the "Company"). The investigation focuses on possible breaches of fiduciary duty and other violations of federal securities laws by the Board of Directors of ERB.
On November 20, 2015, ERB announced that the financial statements for the years ended December 31, 2013 and 2014, and the interim periods ended March 31 and June 30, 2015 should not be relied upon as accurate. The Company reported that an investigation by its Audit Committee concluded that the financial statements for the past ten quarters contain material weaknesses resulting in an expected increase in net loss in the range of $3.0- $4.0 million. Following that announcement, ERB shares dropped approximately 20% from $1.74 to $1.44. On December 1, 2015, the Company suffered another crushing blow when it announced that it was facing a possible suspension and delisting from the New York Stock Exchange. The recent spell of negative news has battered the Company's share price; on January 25, 2016, ERB shares fell to a 52-week low of $0.95.
Given these facts, WeissLaw is investigating whether the Board of Directors (1) made false and/or misleading statements; (2) failed to meet the recordkeeping requirements and accounting provisions established federal securities laws; and (3) failed to establish and maintain comprehensive internal controls to safeguard against financial reporting errors. If you own ERB shares and would like more information about your rights or our investigation, please contact Joshua Rubin either by telephone at (888) 593-4771 or by email at firstname.lastname@example.org.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at email@example.com or fill out the form on our website, http://www.weisslawllp.com/contact/report_fraud/.
SOURCE WeissLaw LLP