SAN DIEGO & MINNETONKA, Minn, July 3, 2013 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP is investigating whether officers and directors of Uroplasty, Inc. (NASDAQCM: UPI) breached their fiduciary duties to shareholders. Uroplasty, a medical device company, develops, manufactures, and markets products for the treatment of voiding dysfunctions.
Robbins Arroyo Investigates Uroplasty's Potential Improper Public Statements Regarding Internal Controls
Robbins Arroyo investigation concerns whether certain of Uroplasty's officers and directors failed to implement adequate internal financial controls. On June 14, 2013, the company announced a delay in the filing of its annual report on Form 10-K for the year ended March 31, 2013, following the completion of a review of its internal control over financial reporting. Specifically, the company announced that it had recently discovered problems with internal controls related to expense reimbursement for its employees and that upon conducting a review of the issues, Uroplasty found additional problems related to the recognition of orders and payment of sales commissions at the end of its fiscal quarters. Further, the company announced that it placed its Chief Financial Officer, Mahedi Jiwani, on administrative leave pending a complete investigation of the company's internal controls.
On this news, shares of Uroplasty dropped $0.26, or 10.5%, to close at $2.22 on June 14, 2013, and have continued to decline an additional 14%, closing at $2.02 on July 1, 2013.
Robbins Arroyo highlights that Uroplasty shareholders have the option to pursue a shareholder derivative action through which shareholders aim to hold insider wrongdoers accountable for their actions, prevent future misconduct, and bring long-term value back to the company. Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. For more information, please go to http://www.robbinsarroyo.com.
Press release link: http://www.robbinsarroyo.com/shareholders-rights-blog/uroplasty-inc/
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SOURCE Robbins Arroyo LLP