NEW YORK--(BUSINESS WIRE)--The law firm of Kirby McInerney LLP is investigating potential claims against Ebix, Inc. (“Ebix” or the “Company”) (NASDAQ:EBIX). This investigation concerns whether Ebix has violated federal securities laws and/or engaged in other unlawful business practices.
On October 5, 2018, Ebix and management announced that they had decided to replace the Company’s outside auditor (Cherry Bekaert LLP) and to appoint TR Chadha & Co. LLP as Ebix’s new outside auditor. Previously, on March 1, 2018, Cherry Bekaert had expressed an adverse opinion about Ebix’s internal controls over financial reporting. On this news, the price of Ebix shares fell $14.18, or about 19.6%, to close at $58.10 on October 8, 2018.
Then, from December 3, 2018 to December 13, 2018, Viceroy Research Group (“Viceroy”) published a series of reports, alleging, among other things, that Ebix is “booking external revenues on transactions between its subsidiaries.” Following these disclosures, the price of Ebix shares declined, thereby further injuring investors.
On July 1, 2019, Viceroy published a follow-up report detailing that the SEC’s response to Viceroy’s Freedom of Information Act document request for records relating to Ebix “confirms enforcement investigation.” Specifically, Viceroy stated that the SEC withheld the requested records “as it could reasonably be expected to interfere with enforcement activities.”
If you acquired Ebix securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, and whistleblower litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: www.kmllp.com.
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