Saxena White P.A. Files Securities Fraud Class Action Against Velti plc
BOCA RATON, FL -- (Marketwired) -- 09/06/13 -- Saxena White P.A. has
filed a securities fraud class action lawsuit in the United States
District Court for the Northern District of California against Velti
plc ("Velti" or the "Company") (NASDAQ: VELT) on behalf of investors
who purchased or otherwise acquired the common stock of the Company
during the period from January 27, 2011 through August 20, 2013 (the
Velti engages in the provision of mobile marketing and advertising
technology and solutions for brands, advertising agencies, mobile
operators, and media companies primarily in Europe, the Americas,
Asia, and Africa.
The complaint brings forth claims for violations of the Securities
Exchange Act of 1934. The Complaint alleges that throughout the Class
Period, the defendants made false and/or misleading statements, as
well as failed to disclose material adverse facts about Velti's
statements and reported financial results. Specifically, the
Complaint alleges that the defendants made false and/or misleading
statements and/or failed to disclose:
(1) that the Company was having difficulties collecting certain
(2) that certain of the Company's receivables were
(3) that, as a result, the Company's revenues and
receivables were overstated during the Class Period;
(4) that the
Company lacked adequate internal and financial controls; and
that, as a result of the foregoing, the Company's statements and
reported financial results were materially false and misleading at
all relevant times.
On August 20, 2013, the Company reported its 2013 fiscal second
quarter financial results and disclosed that the Company had made the
decision to write-down approximately $111 million to its trade
receivables and accrued contract receivables relating to its
enterprise business. Moreover, the Company announced a "major
restructuring" of its business. Furthermore, Velti announced that
revenue had decreased 47% to $31.2 million from the second quarter
2012. On this news, shares of Velti declined $0.66 per share, more
than 66%, to close at $0.34 per share on August 21, 2013 on unusually
heavy trading volume. You may obtain a copy of the Complaint a
the class action at www.saxenawhite.com.
If you purchased Velti stock between January 27, 2011 and August 20,
2013, you may contact Lester Hooker (firstname.lastname@example.org) at
Saxena White P.A. to discuss your rights and interests.
If you purchased Velti common stock during the Class Period of
January 27, 2011 through August 20, 2013, and wish to apply to be the
lead plaintiff in this action, a motion on your behalf must be filed
with the Court no later than October 21, 2013. You may contact Saxena
White P.A. to discuss your rights regarding the appointment of lead
plaintiff and your interest in the class action. Please note that you
may also retain counsel of your choice and need not take any action
at this time to be a class member.
Saxena White P.A., located in Boca Raton, specializes in prosecuting
securities fraud and complex class actions on behalf of institutions
and individuals. Currently serving as lead counsel in numerous
securities fraud class actions nationwide, the firm has recovered
hundreds of millions of dollars on behalf of injured investors and is
active in major litigation pending in federal and state courts
throughout the United States.
Lester R. Hooker, Esq.
Saxena White P.A.
2424 North Federal Highway, Suite 257
Boca Raton, FL 33431
Tel: (561) 394-3399
Fax: (561) 394-3382
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