SAN DIEGO, Sept. 10, 2016 /PRNewswire/ -- Shareholder Rights Law Firm Johnson & Weaver, LLP is investigating potential violations of the federal securities laws by RPM International Inc. (NYSE: RPM) and certain of its officers. RPM manufactures, markets, and sells specialty chemical products for industrial, specialty, and consumer markets worldwide.
On September 9, 2016, the U.S. Securities Exchange Commission ("SEC") filed a complaint accusing RPM of accounting fraud. The allegations are based upon failure of RPM to timely disclose a loss contingency, or record an accrual for an investigation by the U.S. Department of Justice (the "DOJ investigation"). Per the SEC complaint, a public company facing a loss contingency, such as a lawsuit or government investigation, is required under accounting principles and the securities laws to (1) disclose the loss contingency if a material loss is reasonably possible, and (2) record an accrual for the loss contingency if a material loss is probable and reasonably estimable. In connection with the DOJ investigation, RPM faced a material loss that was probable and reasonably estimable, but RPM failed to disclose the loss contingency or record an accrual on its books when required to do so.
On the news RPM stock closed down over 6% on September 9, 2016.
If you have information that could assist in this investigation, including past employees and others, or if you are a RPM shareholder and are interested in learning more about the investigation or your legal rights and remedies, please contact Jim Baker (firstname.lastname@example.org) by email or phone at 619-814-4471. If emailing, please include a phone number where you can be reached.
About Johnson & Weaver, LLP:
Johnson & Weaver, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonandweaver.com. Attorney advertising. Past results do not guarantee future outcomes.
Johnson & Weaver, LLP
Jim Baker, 619-814-4471
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SOURCE Johnson & Weaver, LLP