Federman & Sherwood announces that on May 24, 2013, a class action lawsuit was filed in the United States District Court for the Northern District of Ohio against Invacare Corporation (NYSE: IVC) for possible federal securities laws violations surrounding the Company’s failure to disclose adverse facts about IVC during the Class Period (7/22/2010 through 12/7/2011). More specifically, the Complaint alleges the Company was issuing a series of false or misleading statements, or was failing to disclose, IVC’s non-compliance with FDA guidelines and Current Good Manufacturing Practices (“CGMP”). The Complaint also alleges the Company was suffering from widespread operational, quality and regulatory deficiencies, and had received a series of warning letters from the FDA identifying serious compliance violations at its two major U.S. manufacturing facilities. Allegedly, all of these facts were concealed from investors. On January 4, 2011, the FDA released a warning letter to the public identifying the CGMP violations and “recurring” consumer complaints concerning the safety of the Company’s medical beds. That day IVC’s stock declined $1.38 per share, to close at $29.29 per share on that date. However, the Complaint alleges IVC continued to downplay the significance of the Company’s compliance issues, despite receiving 2 more FDA warning letters, which were also concealed from investors. On December 8, 2011, the Company issued a press release announcing that the FDA intended to suspend certain IVC operations until the Company’s manufacturing facilities became FDA compliant. Upon this news, the Company’s stock prices declined $5.88 per share. The Complaint therefore alleges violations of Section 10(b) and Section 20(a) of the Securities Exchange Act, and Rule 10b-5 promulgated thereunder.
If you purchased Invacare Corporation shares between
July 22, 2010 and December 7, 2011
, have large losses as a result of your trades during this time period, and wish to join this litigation as a potential lead plaintiff, please contact our office as soon as possible. Investors only have until
Tuesday, July 23, 2013
to move the court for consideration as a court-appointed lead plaintiff in this action. Our firm seeks to recover damages and losses on behalf of the entire Class. Federman & Sherwood has extensive nationwide experience and expertise in prosecuting securities litigation involving financial fraud. If you wish to join this class action or have further questions, please contact at