NEW ORLEANS, May 15, 2020 /PRNewswire/ -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF has commenced an investigation into ADTRAN, Inc. (NasdaqGS: ADTN).
On July 17, 2019, the Company announced its 2Q2019 earnings, deemed "preliminary" due to its "ongoing assessment of the reasonableness of its current and previously reported excess and obsolete inventory reserves" as well as "assessing inventory related internal control deficiencies which may result in the identification of material weaknesses." On August 12, 2019, the Company disclosed a delay in filing its 10-Q reports and that certain material weaknesses in its internal control had resulted in a misstatement of previously reported E&O reserves. Then, on October 9, 2019, the Company disclosed disappointing preliminary 3Q2019 financial results and that "revenue this quarter has been significantly impacted by a pause in shipments to a Tier 1 customer in Latin America and the continued slowdown in the spending at an international Tier 1 customer."
The Company has been sued in a securities class action lawsuit for failing to disclose material information, violating federal securities laws, which remains ongoing.
KSF's investigation is focusing on whether ADTRAN's officers and/or directors breached their fiduciary duties to ADTRAN's shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of ADTRAN shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn ([email protected]), or visit https://www.ksfcounsel.com/cases/nasdaqgs-adtn/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. KSF serves a variety of clients – including public institutional investors, hedge funds, money managers and retail investors – in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, California and Louisiana.