NEW YORK--(BUSINESS WIRE)--Pomerantz LLP announces that a class action lawsuit has been filed against Atlas Financial Holdings, Inc. (“Atlas” or the “Company”) (NASDAQ: AFH) and certain of its officers. The class action, filed in United States District Court, Northern District of Illinois, Eastern Division, is on behalf of a class consisting of investors who purchased or otherwise acquired Atlas Financial securities between March 13, 2017, and March 2, 2018, both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials.
If you are a shareholder who purchased Atlas Financial between March 13, 2017, and March 2, 2018, both dates inclusive, you have until May 4, 2018, to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
Atlas Financial Holdings Inc. is a specialty commercial transportation insurer of taxi cabs, limousines, paratransit and other transport businesses around the United States.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company failed to employ internal controls to ensure appropriate accounting practices, including, but not limited to, the calculation of certain loss reserves; (ii) the Company’s internal controls over financial reporting were materially weak; (iii) the Company’s financial statements were inaccurate and misleading, including by understating certain loss reserves; and (iv) that as a result of the foregoing, Atlas Financial’s business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
On March 1, 2018, post-market, the Company issued a press release entitled “Atlas Financial Holdings Announces Preliminary 2017 Fourth Quarter and Year End Financial Results,” announcing a large increase in its reserves.
On this news, the Company’s share price fell $7.70, or 40.96%, to close at $11.10 per share on March 2, 2018, on unusually heavy trading volume.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com