Newman Ferrara LLP ( www.nfllp.com) announced today that a securities class action was filed on behalf of investors in A123 Systems, Inc. (“A123” or the “Company”) (NASDAQ: AONE) in the U.S. District Court for the District of Massachusetts.
Investors who purchased shares of the Company’s common stock between Feb. 28, 2011, and March 23, 2012 (the “Class Period”), and lost more than $100,000, are encouraged to contact Newman Ferrara partner Jeffrey M. Norton at (212) 619-5400 or firstname.lastname@example.org for any questions concerning this notice. If you wish to serve as lead plaintiff, you must apply to be appointed by June 1, 2012. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. Lead plaintiffs are selected from among applicants claiming the largest loss from investment in the Company during the Class Period.
According to the Complaint, A123, a company that produces lithium-ion batteries, issued false and misleading statements about the Company’s financial status. The Complaint alleges that A123 failed to disclose: (1) that the Company had severe manufacturing problems at its Livonia, Michigan plant which resulted in the production of faulty batteries that led to their early failure; (2) that the Company would have to use substantial financial resources to recall the defective batteries, thereby placing the Company at great financial risk; and (3) that the Company misled its investors by producing statements that did not disclose the foregoing allegations.
Whistleblowers: Persons with knowledge that may aid in the investigation of this matter are encouraged to contact the firm. Under the Dodd-Frank Wall Street Reform Bill, whistleblowers are protected from employer retaliation and may be entitled to as much as 30 percent of the recovery if the information provided leads to a successful action.Newman Ferrara maintains a multifaceted practice based in New York City with attorneys specializing in complex commercial and multi-party litigation with an emphasis on securities, ERISA, consumer fraud, products liability, civil rights and real estate. For more information, please visit the firm website at www.nfllp.com.