NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into PureCycle Technologies, Inc. (NasdaqCM: PCT) f/k/a Roth CH Acquisition I Co. (Nasdaq: ROCH).
On May 6, 2021, analyst Hindenburg Research reported a wide range of criticisms toward the Company related to its prior “going public” transaction, highlighting problems with its business model and financial projections, among other things. For example, the report noted that the Company “put its aggressive projections through a bit of a torture session in order to justify its valuation,” that the numbers projected “would put PureCycle’s margins on par with some of the world’s most profitable tech companies,” and concluded that the Company “represents the worst qualities of the SPAC boom; another quintessential example of how executives and SPAC sponsors enrich themselves while hoisting unproven technology and ridiculous financial projections onto the public markets, leaving retail investors to face the ultimate consequences.” Then, on November 10, 2021, the Company disclosed the receipt of an investigative subpoena from the SEC on September 30, 2021 “requesting testimony in connection with a non-public, fact finding investigation of the Company,” pertaining to “among other things, statements made in connection with [Purecycle’s] technology, financial projections, key supply agreements, and management.”
The Company and certain of its executives have been sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period in violation of federal securities laws, which remains ongoing.
KSF’s investigation is focusing on whether PureCycle’s officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of PureCycle shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (firstname.lastname@example.org), or visit https://www.ksfcounsel.com/cases/nasdaqcm-pct/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation’s premier boutique securities litigation law firms. KSF serves a variety of clients – including public institutional investors, hedge funds, money managers and retail investors – in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, California, Louisiana and New Jersey.
To learn more about KSF, you may visit www.ksfcounsel.com.