NEW YORK, Dec. 13, 2016 /PRNewswire/ -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC notifies investors that a class action lawsuit has been filed against Rio Tinto plc ("Rio Tinto" or the "Company") (NYSE: RIO) and certain of its officers, and is on behalf of a class consisting of all persons or entities who purchased or otherwise acquired Rio Tinto American Depositary Receipts ("ADRs") between March 16, 2012 and November 14, 2016, both dates inclusive (the "Class Period"). Such investors are advised to join this case by visiting the firm's site: http://www.bgandg.com/rio.
The class action lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the "Exchange Act").
Rio Tinto is a British-Australian multinational and one of the world's largest metals and mining corporations. The Company mines and produces aluminum products, including bauxite, alumina, and aluminum; copper, gold, silver, and molybdenum, as well as nickel; diamonds, titanium dioxide feedstocks, borates, and salt, as well as high purity iron, metal powders, zircon, and rutile; uranium; iron ore; and thermal coal, and coking or metallurgical coal. Rio Tinto held a significant stake in the Simandou iron mine at all relevant times.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Rio Tinto's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Rio Tinto violated anti-corruption laws in connection with its operations with respect to the Simandou project; (2) the above-mentioned violations would expose Rio Tinto to a heavy inspection and large fines; and (3) consequently, Rio Tinto's public statements were materially false and misleading at all relevant times.
On November 9, 2016, Rio Tinto said that on August 29, 2016, it "became aware of email correspondence from 2011 relating to contractual payments totaling US$10.5 million made to a consultant providing advisory services on the Simandou project in Guinea." Rio Tinto began an investigation led by external counsel, contacted U.K. and U.S. authorities, and suspended Alan Davies, chief executive of Energy and Minerals. Debra Valentine, an executive of Rio Tinto's Legal & Regulatory Affairs group also resigned.
On November 14, 2016, post-market, Bloomberg News released an article: "Rio CEO Says Staff 'Shocked' by Probe That May Take Years." Following this news, and the continued investigation, Rio Tinto's ADR price dropped $1.52, or 3.83%, to close at $38.13 on November 15, 2016.
After market hours on November 15, 2016, Rio Tinto announced Mr. Davies' and Ms. Valentine's termination. Following this news, Rio Tinto's ADR price dropped $0.77 per share, or 2.02%, to close at $37.36 on November 16, 2016.
Then pre-market on November 18, 2016, Bloomberg News announced that Guinea's Mines and Geology Minister, Abdoulaye Magassouba, had requested details of the internal inquiry from Rio Tinto's Chief Executive Officer, Jean-Sébastian Jacques.
That same day, Bloomberg News published an aricle: "Rio Tinto Offered Bribe for Mine, Ex-Guinea Minister Says," writing that the head of Rio Tinto's Guinea operation had offered a bribe to the country's former mining minister for the Simandou project. Following these revelations, Rio Tinto's ADR price dropped $1.01 per share, or 2.69%, to close at $36.55 on November 18, 2016.
A class action lawsuit has already been filed. If you wish to review a copy of the Complaint you can visit the firm's site: http://www.bgandg.com/rio or you may contact Peretz Bronstein, Esq. or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484. If you suffered a loss in Rio Tinto you have until February 10, 2017 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
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. Attorney advertising. Prior results do not guarantee similar outcomes.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Yael Hurwitz
212-697-6484 | firstname.lastname@example.org
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