DENVER--(BUSINESS WIRE)--The Shuman Law Firm announces that it is investigating potential shareholder claims against certain officers and directors of Power Solutions International, Inc. (“Power Solutions” or the “Company”) (OTC: PSIX). Power Solutions provides designs, manufactures, distributes, and supports power systems and custom engineered integrated electrical power generation systems for industrial original equipment manufacturers (OEMs) of off-highway industrial equipment and on-road medium trucks and busses.
Power Solutions investors filed a class action complaint against the Company for alleged violations of the Securities Exchange Act of 1934 between February 27, 2014 and February 2, 2017. The complaint alleges that Power Solutions “routinely and systematically engaged in extremely aggressive sales practices and fraudulent “pull-forward” revenue recognition schemes in order to prematurely recognize sales and revenue in violation of Generally Accepted Accounting Principles (“GAAP”), the SEC Rules, and the Company’s own stated policies.” Moreover, the complaint also alleges that “a number of the most egregious accounting violations were engineered and directed by Gary S. Winemaster the CEO and Co-founder of the Company.” On August 15, 2016, Power Solutions disclosed during after-hours trading that it needed additional time to file its Form 10-Q for the quarter ending June 30, 2016, with the SEC. In this release, the Company stated that it had not completed its financial statements “in light of an ongoing review of allegations made by a former employee” concerning “certain transactions involving revenue recognition.” The Company has yet to file its restated financial statements with the SEC, has been delisted from Nasdaq and currently trades OTC.
If you currently own Power Solutions common stock and are interested in discussing your rights, or have information relating to this investigation, please contact Kip B. Shuman or Rusty E. Glenn toll free at (866) 569-4531 or email Mr. Shuman at kip@shumanlawfirm.com or Mr. Glenn at rusty@shumanlawfirm.com.
The Shuman Law Firm represents investors throughout the nation, concentrating its practice in stockholder litigation.