NEW YORK, June 12, 2012 /PRNewswire/ -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of the securities of ModusLink Global Solutions, Inc. ("ModusLink" or the "Company") (NasdaqGS: MLNK), concerning whether the company and certain of its officers and directors have violated federal securities laws.
On June 11, 2012, Shares of ModusLink fell $1.48 or 35% to close at $2.78. The company announced that it will restate its financial results since fiscal 2009 and delay filing its results for its most recent quarter because of accounting irregularities. The company said that an investigation by its audit committee found that certain client contracts were not aligned correctly with their appropriate discounts. The SEC is also investigating the issues. As a result, ModusLink said it plans to restate its financial results for the fiscal years 2009 through 2011, along with the first two quarters of fiscal 2012 and certain financial data for the fiscal years 2007 and 2008. The restatements are expected to reduce the company's revenue by about $20 million to $30 million over a period in which ModusLink reported revenue of $5.4 billion and a net loss of $213 million, including $232 million in one-time charges.
If you are aware of any facts relating to this investigation, or purchased shares of ModusLink, 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 [email protected]. 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.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Eitan Kimelman, 212-697-6484
SOURCE Bronstein, Gewirtz & Grossman, LLC