NEW ORLEANS, Sept. 4, 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 Mohawk Industries, Inc. (NYSE: MHK).
On July 25, 2019, after a series of prior negative financial revelations, the Company disclosed that sales for its Flooring NA segment were down 7% due to "lower demand" for certain products resulting in excess inventory that had impacted its sales and margins.
Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period regarding improper revenue recognition, demand and inventory levels as well as fraudulent channel stuffing, among other things, violating federal securities laws. The case remains ongoing.
Then, on July 13, 2020, the Company disclosed it received subpoenas from the U.S. Attorney's Office for the Northern District of Georgia and the U.S. Securities and Exchange Commission related to the above issues.
KSF's investigation is focusing on whether Mohawk's officers and/or directors breached their fiduciary duties to Mohawk'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 Mohawk 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/nyse-mhk/ 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 to recover investment losses due to corporate fraud and malfeasance by publicly traded companies. KSF has offices in New York, California and Louisiana.