NEW YORK--(BUSINESS WIRE)--Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Super Micro Computer, Inc. (“Super Micro Computer” or the “Company”) (NASDAQ:SMCI) of the April 9, 2018 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in Super Micro Computer stock or options between August 5, 2016 and January 30, 2018 and would like to discuss your legal rights, click here: www.faruqilaw.com/SMCI. There is no cost or obligation to you.
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The lawsuit has been filed in the U.S. District Court for the Northern District of California on behalf of all those who purchased Super Micro Computer securities between August 5, 2016 and January 30, 2018 (the “Class Period”). The case, United Union of Roofers, Waterproofers & Allied Workers Local Union No. 8 WBPA Fund v. Super Micro Computer, Inc. et al, No. 3.18-cv-00850 was filed on February 8, 2018.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose: (1) that Super Micro Computer was improperly and illicitly recognizing revenue on certain sales transactions; (2) that the Company failed to implement and maintain the proper internal controls to prevent improper and illicit recognition of revenue; (3) Super Micro Computer’s financial results were not calculated in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”); (4) Super Micro Computer’s revenues and income were artificially inflated as a result of its illicit business practices; (5) that these practices caused the Company to be vulnerable to potential civil and criminal liability, and adverse regulatory action; and (6) that, as a result, the Company’ statements about Super Micro Computer’s business, operations, and prospects, were materially false and/or misleading and/or lacked a reasonable basis.
Specifically, on August 29, 2017, Super Micro Computer disclosed it required additional time to file its 2017 annual report. Then on September 14, 2017, the Company disclosed it had received a Non-Compliance letter from Nasdaq. Then on October 26, 2017, Super Micro Computer reaffirmed its delay in filing the annual report in question stating that “[i]n connection with the in-process audit of the Company’s financial results for the year ended June 30, 2017, a sales transaction was subject to additional inquiry and review.” Then on January 30, 2018, after market close, the Company announced it had completed its investigation and would delay the release of its annual report in question.
After these disclosures, Super Micro Computer’s share price fell causing harm to investors.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding Super Micro Computer’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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