SAN DIEGO, April 20, 2016 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed in Florida on behalf of certain purchasers of shares of DS Healthcare Group Inc (NASDAQ:DSKX) over alleged Securities Laws Violations by DS Healthcare Group Inc.
Investors who have losses in excess of $100,000 from their investment between May 15, 2014 and April 3, 2016 in shares of DS Healthcare Group Inc (NASDAQ:DSKX) have certain options and for certain investors are short and strict deadlines running. Deadline: May 31, 2016. (NASDAQ:DSKX) investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that the defendants made false and/or misleading statements and/or failed to disclose that the unaudited condensed consolidated financial statements for the two fiscal quarters ended June 30, 2015 and September 30, 2015 improperly recognized revenues related to certain DS Healthcare Group customers, which did not meet revenue recognition criteria, that the unaudited condensed consolidated financial statements for the two fiscal quarters ended June 30, 2015 and September 30, 2015 contained certain equity transactions for the periods ended June 30, 2015 and September 30, 2015 that were not in accordance with United States Generally Accepted Accounting Principles and which were also not properly disclosed, and that as a result, defendants’ statements DS Healthcare Group’s business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
On March 23, 2016, DS Healthcare Group disclosed that the unaudited condensed consolidated financial statements of the Company for the two fiscal quarters ended June 30, 2015 and September 30, 2015 should no longer be relied upon because of certain errors and that the company plans to restate the relevant Company financial statements. Additionally, DS Healthcare Group Inc disclosed that the Audit Committee and independent counsel had started an investigation into the Company President, Daniel Khesin’s, involvement in an allegedly fraudulent revenue recognition and equity transaction errors; and that Mr. Khesin’s employment as President of DS Healthcare Group Inc has been terminated.
On March 28, 2016, DS Healthcare Group announced the improperly recorded revenues totaled approximately $300,000 and $600,000 for the 2015 second and third quarters, respectively.
Those who purchased DS Healthcare Group Inc (NASDAQ:DSKX) shares should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.