NEW YORK, March 3, 2021 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against GTT Communications, Inc. ("GTT" or the "Company") (NYSE: GTT) and certain of its officers. The class action, filed in United States District Court for the Central District of California, and docketed under 21-cv-00839, is on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired GTT publicly traded securities from May 5, 2016 through November 9, 2020, inclusive (the "Class Period"), seeking to pursue remedies under the Securities Exchange Act of 1934 (the "Exchange Act"). Plaintiff alleges that Defendants violated the Exchange Act by publishing false and misleading statements to artificially inflate the Company's stock price.
If you are a shareholder who purchased GTT securities during the Class Period, you have until March 15, 2021 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
GTT operates a global communications network, providing telecommunications services to large, multinational enterprises, carriers, and governments across five continents.
Throughout the Class Period, GTT stated that its internal controls over financial reporting were "effective" and provided "reasonable assurance" that all required information was being disclosed.
In truth, GTT's internal controls over financial reporting were inadequate, which led to years of inaccurate financial reporting, including failing to make adequate adjustments to the Company's Cost of Telecommunication Services and failing to recognize certain expenses.
As a result of GTT's inadequate internal controls, the Company announced after market hours on August 10, 2020 that it would delay the filing of its quarterly report for the quarter ended June 30, 2020. The Company stated it had identified "certain issues related to the recording and reporting of Cost of Telecommunications Services and related internal controls."
On this news, GTT shares fell by $0.65, or over 11%, from closing at $5.61 on August 10, 2020 to close at $4.96 on August 11, 2020.
On November 9, 2020, the Company announced its quarterly report for the quarter ended September 30, 2020 would be delayed as well. The Company stated the delay was caused by the ongoing review and "examining the accounting for Cost of Telecommunications Services and [. . .] a number of issues in connection with the Company's previously issued financial statements[.]"
On this news, GTT shares fell by $0.04, or 1%, to close at $3.96 on November 9, 2020.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com
Robert S. Willoughby
888-476-6529 ext. 7980
SOURCE Pomerantz LLP