The Briscoe Law Firm And Powers Taylor, LLP Announce Investigation Of AgFeed Industries, Inc.
Former United States Securities and Exchange Commission attorney
Briscoe, founder of
Briscoe Law Firm, PLLC, and the securities litigation firm of
Taylor, LLP announce that the firms are...
Former United States Securities and Exchange Commission attorney Willie Briscoe, founder of The Briscoe Law Firm, PLLC, and the securities litigation firm of Powers Taylor, LLP announce that the firms are investigating legal claims against the officers and Board of Directors of AgFeed Industries, Inc. (“AgFeed” or “FEED”) (NASDAQ: FEED) related to potentially misleading statements issued by AgFeed between March 16, 2009 and August 2, 2011 (the “Class Period”). If you are an affected investor and you want to learn more about the lawsuit or join the action, contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at email@example.com, or Willie Briscoe at The Briscoe Law Firm, PLLC, (214) 706-9314, or via email at WBriscoe@TheBriscoeLawFirm.com. There is no cost or fee to you. It has been alleged that during the Class Period, FEED and certain of its officers and directors made materially false and misleading statements or failed to disclose material information related to AgFeed’s business and operations in violation of the Securities Exchange Act of 1934. Specifically, it is claimed that FEED and the other defendants misrepresented and/or failed to disclose the following adverse facts: (i) AgFeed's collection efforts and credit dealings with its animal nutrition customers were not working because the "formula based analysis" AgFeed relied on in determining accounts receivable and reserves for doubtful accounts was flawed; (ii) allowances for doubtful accounts were undervalued; (iii) accounts were overvalued and bad debts were undervalued, causing reported asset values to be overstated and expenses to be understated; and (iv) as a result, AgFeed exaggerated its market edge creating an illusion of heightened profitability. It’s alleged that the defendants’ false statements cause FEED’s stock to trade at artificially inflated prices during the Class Period. The Briscoe Law Firm, PLLC is a full service business litigation, commercial transaction, and public advocacy firm with more than 20 years of experience in complex litigation and transactional matters. Powers Taylor, LLP is a boutique litigation law firm that handles a variety of complex business litigation matters, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.
Shares of AgFeed Industries (Nasdaq:FEED) were gapping down Monday morning with an open price 23.1% lower than Friday's closing price. The stock closed at 52 cents yesterday and opened today's trading at 40 cents.