Press release from Business Wire
Law Offices of Howard G. Smith Announces Class Action Lawsuit Against Poseidon Concepts Corp.
Friday, March 29, 2013
Law Offices of Howard G. Smith Announces Class Action Lawsuit Against Poseidon Concepts Corp.20:17 EDT Friday, March 29, 2013
BENSALEM, Pa. (Business Wire) -- Law Offices of Howard G. Smith announces that a class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of all purchasers of the common stock of Poseidon Concepts Corp. (“Poseidon” or the “Company”) (OTC Markets:POOSF) (Toronto:PSN.TO) between May 9, 2012 and February 14, 2013, inclusive (the “Class Period”).
Poseidon, together with its subsidiaries, engages in renting fracturing fluid handling tanks primarily used in well completion operations in the oil and natural gas industry in western Canada and the United States. The Complaint alleges that throughout the Class Period Poseidon issued materially false and misleading statements concerning the Company's financial performance, including the overstatement of the Company's revenue and earnings by more than 200 percent.
On December 27, 2012 the Company announced that it had established a Special Committee of the Board of Directors to review and address “various issues arising from the recent write-off of certain accounts receivable and the evolving business plan of the Company…[which] includes the review and assessment of the Company's business processes and controls.”
Then, on February 14, 2013 the Company announced that Poseidon's first, second and third quarter 2012 financial statements should no longer be relied upon and will be restated. In addition, the Company-issued press release stated that “the Company advises that all previous guidance with respect to the Company's business should no longer be relied upon.”
Following this news, the price of Poseidon stock dropped approximately 69%, or $0.61 per share from the previous day's closing price, to close at $0.28 per share on February 14, 2013.
No class has yet been certified in this action. Until a class is certified, you are not represented by counsel unless you retain one. If you purchased Poseidon common stock during the Class Period, you have certain rights, and have until April 24, 2013 to move for lead plaintiff status. To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to email@example.com, or visit our website at http://www.howardsmithlaw.com.
Law Offices of Howard G. Smith
Howard G. Smith, Esquire