Robbins Umeda LLP has commenced an investigation into possible breaches of fiduciary duty and other violations of the law by certain officers and directors at Ormat Technologies Inc. ("Ormat" or the "Company") (NYSE: ORA). Ormat engages in the geothermal and recovered energy power generation in the United States and internationally. The Company is headquartered in Reno, Nevada.
Robbins Umeda LLP's investigation concerns whether the Company's directors and officers caused the Company to make improper financial statements, which eventually resulted in the Company restating its financial results.
Specifically, on February 24, 2010, Ormat disclosed that the Board of Directors and Audit Committee of the Company, upon recommendation of management and after discussions with U.S. Securities and Exchange Commission, had concluded that the Company's financial statements for the year ended December 31, 2008 required restatement and should no longer be relied upon. The Company restated its results because it improperly capitalized costs incurred in connection with the exploration and development of certain properties that it did not plan to develop. Upon this news, the price of Ormat stock declined more than 12.81% over the three days following the disclosure of this announcement.
A lawsuit alleging violations of the Securities Exchange Act of 1934 has been filed on behalf of shareholders who purchased or otherwise acquired Ormat stock between May 6, 2008 and February 24, 2010, against the Company and certain of its officers. Securities class actions like this can potentially cause additional damage to the Company.If you purchased your Ormat stock prior to May 6, 2008, continue to hold your shares, and would like more information about your rights as a shareholder, please contact attorney Lauren Levi at 800-350-6003 or by e-mail at email@example.com. Robbins Umeda LLP is a California-based law firm, which has significant experience representing investors in shareholder derivative actions, securities fraud class actions, and merger-related shareholder class actions. For more information about the firm, please go to http://www.robbinsumeda.com. Advertisement