Hagens Berman is prosecuting a class-action securities lawsuit against Canadian Solar (NASDAQ: CSIQ) brought on behalf of investors.
The complaint, originally filed on June 3, 2010, alleged that Canadian Solar overstated its revenues and concealed necessary information about the company’s business operations ahead of the October 2009 offering of more than $100 million in common stock.
Defendants include Canadian Solar, Arthur Chien and Shawn Qu, who allegedly authorized recorded revenues from fictitious sales transactions and failed to properly account for product returns in 2009, in the registration statements, prospectus and other documents. The lawsuit alleges that as a result the company sold CSIQ shares to investors at inflated prices.
On June 1, 2010, Canadian Solar announced that it would delay the release of its 1st quarter 2010 financial results and disclosed an investigation of the company’s Board Audit Committee and an SEC subpoena. Following the news, the company’s stock dropped from $11.86 on June 1, 2010 to a close of $9.60 on June 4, 2010.
The lawsuit seeks to represent a class of investors who purchased CSIQ shares between Oct. 13, 2009, and June 1, 2010.
April 19, 2012: Defendants motion to dismiss was granted, but plaintiffs were given leave to file an amended complaint.
March 30, 2012: Defendants motion to dismiss was granted, but plaintiffs were given leave to file an amended complaint.
May 13, 2011: Defendants filed a motion to dismiss the case.
Dec. 22, 2010: Hagens Berman was appointed lead counsel in the case.