This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Kahn Swick & Foti, LLC Announces That The Wall Street Journal Reports Federal Prosecutors Have Opened Inquiry Into Payments Made By Diamond Foods, Inc.

Kahn Swick & Foti, LLC ("KSF") and KSF partner, the former Attorney General of Louisiana, Charles C. Foti, Jr., report that Diamond Foods (Nasdaq: DMND) stock has fallen an additional 13.25% - falling $4.40 to $28.73 in after-hours trading - following the publication by The Wall Street Journal, of a headline stating that federal prosecutors have opened inquiry into DMND walnut payments, citing sources.

This investigation follows the filing of investors’ class action lawsuit for those who purchased shares of Diamond Foods between December 9, 2010 and November 4, 2011. That lawsuit was filed in the United States District Court for the Northern District of California.

If you are a Diamond shareholder and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, e-mail or call KSF Managing Partner, Lewis Kahn (, toll free, 877-515-1850, or via cell phone any time at 504-301-7900. KSF also encourages anyone with information regarding Diamond’s conduct during the period in question to contact the firm, including whistleblowers, former employees, shareholders and others.

About the Lawsuit

The complaint filed against Diamond Foods charges the Company and certain of its officers and directors with violations of the Securities Exchange Act of 1934. On September 27, 2011, The Wall Street Journal published an article entitled “Hidden Flaw in P&G’s Diamond Deal,” which discussed a $50 million payment the Company made in September 2011 to walnut growers, suggesting that the payment, had it been made during the fiscal year that ended July 31, 2011, would have reduced the Company’s fiscal 2011 operating income by $50 million. On November 1, 2011, Diamond announced that the Audit Committee of the Company’s Board of Directors was conducting an internal investigation into payments made to walnut growers in September 2011 and the accounting for such payments. On this news, the Company’s stock price fell 17% to close at $52.79 per share on November 2, 2011.

About Kahn Swick & Foti, LLC

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs