An investigation for investors in CA, Inc. (NASDAQ:CA) shares over potential securities laws violations by CA, Inc. was announced and NASDAQ:CA stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 09/23/2015 -- An investigation on behalf of shareholders of CA, Inc. (NASDAQ:CA) shares concerning potential violations of securities laws by CA, Inc. in connection certain financial statements was announced.
Shares of CA, Inc. (NASDAQ:CA) declined from $33.05 per share in March 2015 to as low as $25.16 per share on August 24, 2015.
Investors who purchased shares of CA, Inc. (NASDAQ:CA), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation or call 858-779-1554.
The investigation by a law firm focuses on whether a series of statements by CA, Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.
CA, Inc. disclosed that on March 24, 2014, the U.S. Department of Justice ("DOJ") filed under seal in the United States District Court for the District of Columbia a complaint against CA, Inc. in partial intervention under the qui tam provisions of the civil False Claims Act ("FCA"). The underlying complaint was filed under seal by an individual plaintiff on August 24, 2009. On May 29, 2014, the case was unsealed. Both the DOJ and the individual plaintiff have filed amended complaints.
CA, Inc. said that the current complaints relate to government sales transactions under the Company's General Services Administration (GSA) schedule contract, entered into in 2002 and extended until present through subsequent amendments and that in sum and substance, the current complaints allege that CA, Inc. provided inaccurate commercial discounting information to the GSA during contract negotiations and that, as a result, the GSA's contract discount was lower than it otherwise would have been.
CA, Inc. said that in addition, the complaints allege that CA, Inc. failed to apply the full negotiated discount in some instances and to pay sufficient rebates pursuant to the contract's price reduction clause and that in addition to FCA claims, the current complaints also assert common law causes of action.
CA, Inc. said that the DOJ complaint seeks an unspecified amount of damages, including treble damages and civil penalties and that the complaint by the individual plaintiff alleges that the U.S. government has suffered damages in excess of $100 million and seeks an unspecified amount of damages, including treble damages and civil penalties.
CA, Inc. filed motions to dismiss the current complaints, but on March 31, 2015, the court issued decisions denying the Company's motion to dismiss the DOJ complaint, and granting in part and denying in part the Company's motion to dismiss the individual plaintiff's complaint.
CA, Inc. reported that its Total Revenue declined from over $4.5 billion for the 12 months period that ended on March 31, 2013 to over $4.26 billion for the 12 months period that ended on March 31, 2015 and that its respective Net Income decreased from $9.55 million to $846 million.
Those who purchased shares of CA, Inc. (NASDAQ:CA) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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