RM Law announces that a class action lawsuit has been filed in United States District Court for the Eastern District of New York on behalf of purchasers of The Hain Celestial Group, Inc. (“Hain” or the “Company”) (NASDAQ: HAIN) between November 5, 2015 and August 15, 2016, inclusive (the “Class Period”).
Hain shareholders may, no later than October 17, 2016, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Hain and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (877) 316-3218 or to sign up online, visit: www.rmclasslaw.com/cases/hain.
The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements, and omitted materially adverse facts, about the Company’s business, operations and prospects. Specifically, the Complaint alleges that the defendants concealed from the investing public that: (1) the Company lacked adequate controls over financial reporting; (2) consequently, the Company failed to correctly account for revenue associated with concessions granted to certain distributors in the United States; and (3) as a result of the foregoing, Hain’s public statements were materially false and misleading at all relevant times. As a result of defendants’ alleged false and misleading statements, the Company’s stock traded at artificially inflated prices during the Class Period.
According to the Complaint, on August 15, 2016, after the market closed, Hain announced that it would delay the release of its fourth quarter and fiscal year 2016 financial results. The Company announced that during the fourth quarter, it had identified concessions that were granted to certain distributors in the United States and it was evaluating whether the revenue associated with those concessions was accounted for properly. Hain also announced that it was evaluating its internal control over financial reporting.
On this news, shares of Hain dropped over 26%, closing at $39.35 per share on August 16, 2016, on heavy trading volume.
If you are a member of the class, you may, no later than October 17, 2016, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM Law or other counsel of your choice, to serve as your counsel in this action.