BOCA RATON, Fla., Feb. 05, 2018 (GLOBE NEWSWIRE) -- Saxena White P.A. has filed a securities fraud class action lawsuit in the United States District Court for the Central District of California against OSI Systems, Inc. (“OSI” or the “Company”) (NYSE:OSIS) on behalf of investors who purchased or otherwise acquired the common stock of the Company between August 21, 2013 and February 1, 2018 (the “Class Period”). A previous securities fraud class action filed against OSI asserted a class period of August 21, 2013 through December 6, 2017. The Class Period is being expanded to incorporate material new information that the Company disclosed after the close of trading on February 1, 2018.
OSI designs and manufactures specialized electronic systems and components. It sells its products and provides related services in diversified markets, including homeland security, healthcare, defense and aerospace. Notably, OSI entered into a 15 year agreement with the Government of Albania in August of 2013 to provide turnkey services to their Security Division. On December 6, 2017, Muddy Waters Research published a report entitled “OSIS: Rotten to the Core” (the “Muddy Waters Report”) which accused the Company of using corrupt and illegal methods to obtain contracts in both Albania and also in Mexico. Following the publication of the Muddy Waters report, the Company denied the facts set forth therein, calling the report “misleading.”
Then, after the close of trading on February 1, 2018, OSI announced that the SEC and the U.S. Department of Justice had both commenced investigations of the Company for FCPA violations and insider trading, and that in connection with these investigations, the Company had already “taken action with respect to a senior-level employee.” As a result, on February 2, 2018, OSI stock fell nearly 20%, or $12.00 per share, to a new 52-week low of $54.60 per share.
The Complaint asserts claims for violations of the Securities Exchange Act of 1934. The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects.
Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (1) that OSI acquired the Albania concession through bribery or other illicit means; (2) that OSI transferred 49% of its project company associated with the Albania concession, S2 Albania SHPK, an entity purportedly worth millions, for consideration of less than $5.00; (3) that OSI engaged in other illegal acts, including improper sales and cash payments to government officials; (4) that these practices caused the Company to be vulnerable to potential civil and criminal liability, and adverse regulatory action; and (5) that, as a result of the foregoing, Defendants’ statements about OSI’s business, operations, and prospects, were materially false and/or misleading and/or lacked a reasonable basis.
You may obtain a copy of the Complaint and join the class action at www.saxenawhite.com.
If you purchased OSI Systems, Inc. shares between August 21, 2013 and February 1, 2018, you may contact Lester Hooker (lhooker@saxenawhite.com) at Saxena White P.A. to discuss your rights and interests.
If you purchased OSI Systems, Inc. shares during the Class Period of August 21, 2013 through February 1, 2018 and wish to apply to be the lead plaintiff in this action, a motion on your behalf must be filed with the Court by no later than February 5, 2018. 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., with offices in Florida, New York, and Massachusetts, concentrates its practice on 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.
CONTACT INFORMATION
Lester R. Hooker, Esq.
lhooker@saxenawhite.com
Saxena White P.A.
150 East Palmetto Park Road, Suite 600
Boca Raton, FL 33432
Tel: (561) 206-6708
Fax: (866) 290-1291
www.saxenawhite.com