Shareholder rights firm Robbins Umeda LLP announces the filing of a federal securities class action by an investor in the U.S. District Court for the Northern District of Illinois, Eastern Division, on behalf of purchasers of Lime Energy Co. (NASDAQ: LIME) ("Lime Energy" or the "Company") shares between May 13, 2010 and July 17, 2012 (the "Class Period").
The complaint alleges that Lime Energy and certain of its executive officers issued false or misleading statements concerning the Company's business, operations, and financial prospects. Specifically, it is alleged that defendants misrepresented or failed to disclose that: (i) the Company was improperly recording revenue; (ii) the Company's revenues and financial results were overstated; (iii) the Company's financial statements were not prepared in accordance with Generally Accepted Accounting Principles; (iv) that the Company lacked adequate internal and financial controls; and (v) as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times.
On July 17, 2012, Lime Energy issued a press release in which the Company stated: "[b]ased on the results of that partial internal review, the Company's management and the Audit Committee believe that some portion of the Company's revenue was improperly recorded. In some cases, it appears that non-existent revenue may have been recorded. In other cases, it appears that revenue may have been recorded earlier than it should have been." As a result, the Company may need to restate up to $15 million of revenue. On this news, shares of Lime Energy stock fell $0.91 per share, or 45%, to close on July 17, 2012, at just $1.12 per share.
If you purchased or otherwise acquired Lime Energy stock during the Class Period and wish to serve as lead plaintiff, you must act no later than September 18, 2012. To discuss your shareholder rights, please contact attorney Gregory E. Del Gaizo at 800-350-6003, via email at firstname.lastname@example.org, or via the shareholder information form.Robbins Umeda LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested. For more information, please go to http://www.robbinsumeda.com. Press release link: http://www.robbinsumeda.com/shareholders-rights-blog/lime-energy-co/ Attorney Advertising. Past results do not guarantee a similar outcome.