STEVENSON, Md.--(BUSINESS WIRE)--The securities litigation law firm of Brower Piven, A Professional Corporation, announces that a class action lawsuit has been commenced in the United States District Court for the Central District of California on behalf of purchasers of Cardiovascular Systems, Inc. (Nasdaq: CSII) (“Cardiovascular Systems” or the “Company”) securities during the period between September 12, 2011 and January 21, 2016, inclusive (the “Class Period”). Investors with losses in excess of $100,000 who wish to become proactively involved in the litigation have until April 12, 2016 to seek appointment as lead plaintiff.
If you have suffered a loss from investment in Cardiovascular Systems’ securities purchased on or after September 12, 2011 and held through the revelation of negative information during and/or at the end of the Class Period, as described below, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, without cost or obligation to you, please visit our website at http://www.browerpiven.com/currentsecuritiescases.html. You may also request more information by contacting Brower Piven either by email at email@example.com or by telephone at (410) 415-6616. No class has yet been certified in the above action. Members of the Class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff.
If you wish to choose counsel to represent you and the Class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in Company securities during the Class Period. Brower Piven also encourages anyone with information regarding the Company’s conduct during the period in question to contact the firm, including whistleblowers, former employees, shareholders and others.
The complaint accuses the defendants of violations of the Securities Exchange Act of 1934 by virtue of the defendants’ failure to disclose during the Class Period that the Company distributed illegal kickbacks to health care providers, engaged in the off-label promotion of its medical devices and violated the Food and Drug Administration’s laws and regulations in connection with its medical devices.
As more fully detailed in the complaint, on May 9, 2014, Cardiovascular Systems disclosed that it had received a letter from the U.S. Attorney’s Office for the Western District of North Carolina reporting that the U.S. Attorney was investigating whether the Company had violated the False Claims Act. Then, on October 7, 2015, Cardiovascular Systems reported disappointing First Quarter 2016 financial results, “due to the continued reformation of its sales force, which was a materialization of the Company’s receipt of the letter from the U.S. Attorney’s Office.” Finally, on January 21, 2016, Cardiovascular Systems reported disappointing Second Quarter 2016 financial results, again, “due to the continued reformation of its sales force, which was a materialization of the Company’s receipt of the letter from the U.S. Attorney’s Office.”
According to the complaint, when the true details entered the market, the value of Cardiovascular Systems’ shares declined significantly.
Attorneys at Brower Piven have extensive experience in litigating securities and other class action cases and have been advocating for the rights of shareholders since the 1980s. If you choose to retain counsel, you may retain Brower Piven without financial obligation or cost to you, or you may retain other counsel of your choice. You need take no action at this time to be a member of the class.