SAN DIEGO & DENVER--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Farmland Partners, Inc. (NYSE: FPI) filed a class action complaint against the company's officers and directors for alleged violations of the Securities Exchange Act of 1934 between May 9, 2017 and July 10, 2018. Farmland Partners is an internally managed real estate company that owns and seeks to acquire high-quality North American farmland and makes loans to farmers secured by farm real estate.
View this information on the law firm's Shareholder Rights Blog: https://www.robbinsarroyo.com/farmland-partners-inc/
Farmland Partners Allegedly Overstated it Revenues
According to the complaint, Farmland Partners artificially increased its revenue by marking loans to related party tenants. During the class period, Farmland Partners touted increased earnings "as indicative of the growth we achieved…" and the result of increasing scale and reducing expenses. However, on July 11, 2018, an on-line article published by Rota Fortunae alleged that Farmland Partners artificially increased revenues "by making loans to related-party tenants who round-trip the cash back to FPI as rent." The report asserted that as much of 310% of Farmland Partners' 2017 earnings could be fabricated. The report also stated there was evidence that Farmland Properties significantly overpaid for properties. On this news, Farmland Partners common stock fell almost 40% to close at $5.38 on July 11, 2018, and its Series B preferred stock fell almost 35% to close at $18.49 on July 11, 2018.
Farmland Partners Shareholders Have Legal Options
If you would like more information about your rights and potential remedies, contact attorney Leonid Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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