San Diego, CA -- (SBWIRE) -- 07/18/2012 -- A deadline is coming up on August 7, 2012 in the lawsuit filed for investors of Central European Distribution Corp (NASDAQ:CEDC) over alleged securities laws violations in connection with certain statements over its main operating subsidiary in Russia.
Investors with a substantial investment in Central European Distribution Corp (NASDAQ:CEDC) shares between March 1, 2010 and June 4, 2012, should get active before the Deadline that is coming up on August 7, 2012, and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
According to the complaint filed in the U.S. District Court, Southern District of New York, the plaintiff alleges on behalf of purchasers of Central European Distribution Corp (NASDAQ:CEDC) securities between March 1, 2010 and June 4, 2012, that Central European Distribution Corp and certain of its top officials violated the Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated. Specifically the plaintiff claims that defendants allegedly made false and/or misleading statements, as well as failed to disclose that Central European Distribution Corp's reported net sales in the years ended December 31, 2010 and 2011 were materially inflated, that as a result of its alleged failure to appropriately account for customer rebates, Central European Distribution Corp anticipates restating its reported consolidated net sales, operating profit and related accounts receivable for these periods by approximately $30 to $40 million, and as a result of the foregoing, that Central European Distribution Corp's statements were allegedly materially false and misleading at all relevant times.
On June 4, 2012, Central European Distribution Corporation (NASDAQ: CEDC) announced that it expects to restate its financial results for all financial reporting periods from and after January 1, 2010.
Central European Distribution Corporation said that it changed its senior management at its main operating subsidiary in Russia, the Russian Alcohol Group ("RAG"), during April 2012 and following this change senior Central European Distribution Corporation management requested that the new management team review RAG's business operations and internal controls, including an assessment of the resources and needs of the corporate finance and reporting departments, as identified in Item 9A of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2011.
NASDAQ:CEDC share fell on June 21, 2012, to as low as $2.61 per share.
Those who purchased shares of Central European Distribution Corp (NASDAQ:CEDC) between March 1, 2010 and June 4, 2012, have certain options and there are strict and short deadlines running. Deadline: August 7, 2012. NASDAQ:CEDC investors should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego