NEW YORK, Aug. 10, 2017 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of GlobalSCAPE, Inc. ("GlobalSCAPE" or the "Company") (NYSE: GSB). Such investors are advised to contact Robert S. Willoughby at firstname.lastname@example.org or 888-476-6529, Ext. 9980.
The investigation concerns whether GlobalSCAPE and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On August 7, 2017, post-market, GlobalSCAPE announced that its Audit Committee "has been conducting an investigation into certain transactions in the fourth quarter of 2016 involving improper arrangements with customers that circumvented the Company's internal controls." The Company says the investigation to date has found that these "improper arrangements" resulted in the Company overstating reported amounts of accounts receivable as of December 31, 2016, and license revenue for the three months and year ended December 31, 2016, by approximately $403,000 and $396,000, respectively. The Company also announced that it "intends to effect a restatement of its previously issued financial statements through filing an amended Annual Report on Form 10-K for the year ended December 31, 2016 and an amended Quarterly Report on Form 10-Q for the quarter ended March 31, 2017."
On this news, GlobalSCAPE's share price fell $0.83, or 17.66%, to close at $3.87 on August 8, 2017.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, 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
SOURCE Pomerantz LLP