BOSTON, April 2, 2012 /PRNewswire/ -- Block & Leviton LLP ( www.blockesq.com), a Boston-based law firm representing investors nationwide, announces that a securities class action lawsuit was filed against Swisher Hygiene Inc. ("Swisher Hygiene" or the "Company") (NASDAQ: SWSH) in the United States District Court for the Southern District of New York.
The lawsuit alleges violations of United States securities laws on behalf of Swisher Hygiene's stockholders between May 16, 2011 and March 28, 2012, inclusive (the "Class Period"). The claims arise under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the Securities and Exchange Commission ("SEC").
The complaint asserts that Swisher Hygiene and certain of its officers and directors made materially false and misleading statements during the Class Period. More specifically, the complaint alleges that the Company: (1) was improperly accounting for business acquisitions; (2) was improperly calculating its allowance for doubtful accounts receivable; (3) was overstating its income; (4) was preparing and filing financial reports in violation of Generally Accepted Accounting Principles ("GAAP"); and (5) failed to have adequate internal and financial controls.
On March 28, 2012, Swisher Hygiene disclosed that its previously-announced financial results for the first, second and third quarter of 2011 should no longer be relied upon and may have to be restated. The Company also disclosed that its Audit Committee was conducting an ongoing internal review relating to possible adjustments to its accounting for business acquisitions and the calculation of the allowance of doubtful accounts receivable. According to the Company, the Audit Committee initiated its review following a concern raised by a former employee. On this news, shares of Swisher Hygiene stock declined $0.29 per share, or more than 9.5%, to close on March 28, 2012, at $2.76 per share, on unusually heavy volume. The Company's stock declined another $0.33 per share, or nearly 12%, on March 29, 2012.If you are a member of the Class, you may, no later than May 29, 2012, request that the court appoint you as Lead Plaintiff for the Class. You may contact the attorneys at Block & Leviton to discuss your rights in the case. You may also retain counsel of your choice and you need not take any action at this time to be a class member. Block & Leviton is a Boston-based law firm representing investors for violations of securities laws. The firm's lawyers have collectively been prosecuting securities cases on behalf of investors for over 50 years. This notice may constitute attorney advertising.