RADNOR, Pa., Feb. 18, 2016 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP announces that a shareholder class action lawsuit has been filed against Cardiovascular Systems, Inc. (NASDAQ: CSII) ("CSI" or the "Company") on behalf of purchasers of the Company's securities between September 12, 2011 and January 21, 2016, inclusive (the "Class Period").
CSI shareholders who wish to discuss this action and their legal options are encouraged to contact Kessler Topaz Meltzer & Check, LLP (Darren J. Check, Esq., D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299-7706 or at firstname.lastname@example.org.
For additional information about this lawsuit, or to request information about this action online, please visit https://www.ktmc.com/new-cases/cardiovascular-systems-inc.
CSI is a medical technology company that develops, manufactures, and markets devices to treat vascular diseases, such as Peripheral Arterial Disease ("PAD"). The Company sells its products directly to hospitals, doctors, and office-based labs.
The shareholder class action complaint alleges that CSI and certain of its executive officers made a series of false and misleading statements to investors and failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, the defendants are alleged to have made materially false and misleading statements to investors and/or failed to disclose that: (1) CSI distributed illegal kickbacks to health care providers; (2) CSI engaged in the off-label promotion of its medical devices; and (3) CSI violated the Food and Drug Administration's laws and regulations in connection with its medical devices.
As more fully detailed in the shareholder class action complaint, on May 9, 2014, CSI disclosed that it had received a letter from the U.S. Attorney's Office for the Western District of North Carolina reporting that the U.S. Attorney was investigating whether the Company had violated the False Claims Act. Following this news, shares of CSI's stock fell $1.62 per share, or over 5%, to close at $27.43 per share on May 12, 2014.
On October 7, 2015, CSI reported disappointing First Quarter 2016 financial results "due to the continued reformation of its sales force, which was a materialization of the Company's receipt of the letter from the U.S. Attorney's Office." Following this news, shares of CSI's stock fell an additional $3.01 per share, or approximately 18%, to close at $13.62 per share on October 8, 2015.
Finally, on January 21, 2016, CSI reported disappointing Second Quarter 2016 financial results, again "due to the continued reformation of its sales force, which was a materialization of the Company's receipt of the letter from the U.S. Attorney's Office." Following this news, shares of CSI's stock fell an additional $3.72 per share, or nearly 30%, to close at $8.74 per share on January 22, 2016.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check (Darren J. Check, Esq., D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299–7706 or (610) 667–7706, or via e-mail at email@example.com
CSI shareholders who purchased their securities during the Class Period may, no later than April 12, 2016, petition the Court to be appointed as a lead plaintiff of the class.
A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Members of the purported class may petition the Court to be appointed as a lead plaintiff through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. In order to be appointed as a lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com.
Kessler Topaz Meltzer & Check, LLP
Darren J. Check, Esq.
D. Seamus Kaskela, Esq.
Adrienne O. Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
SOURCE Kessler Topaz Meltzer & Check, LLP