A settlement was reached in the lawsuit filed on behalf of certain investors of ECOtality Inc (NASDAQ: ECTY) over alleged securities laws violations and a deadline to submit the settlement claim is upcoming on June 18, 2015 and NASDAQ: ECTY investors should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 04/07/2015 -- A deadline is coming up on June 18, 2015 in the settlement reached in the securities class action lawsuit filed on behalf of investors who purchased shares of ECOtality Inc (NASDAQ: ECTY) between April 16, 2013 and August 12, 2013.
Investors who purchased a significant amount of shares of ECOtality Inc (NASDAQ: ECTY) between April 16, 2013 and August 12, 2013 have certain options and should contact the Shareholders Foundation by email at email@example.com or call +1(858) 779 - 1554.
The settlement proof of claim form or detailed settlement notice for the settlement in the ECOtality Inc (NASDAQ: ECTY) Investor Securities Class Action Lawsuit can be downloaded at: http://shareholdersfoundation.com/case/ecotality-inc-nasdaq-ecty-investor-securities-class-action-lawsuit-08152013
In order to submit a claim an investor has to submit the claim proof to the class action claim administrator in a timely manner. The deadline to submit the proof with the class administrator is June 15, 2015. The class action administrator for this case is Gilardi & Co LLC.
The lawsuit was originally filed in the U.S. District Court for the Northern District of California against ECOtality Inc over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between April 16, 2013 and August 9, 2013.
According to the complaint the plaintiff alleges on behalf of purchasers ECOtality Inc (NASDAQ: ECTY) common stock during the period, that ECOtality Inc and certain of its officers and directors violated the Securities Exchange Act of 1934. More specifically, the plaintiff alleges that defendants allegedly concealed the following material adverse facts from the investing public during between April 16, 2013 and August 9, 2013, that due to design and manufacturing defects, some of ECOtality Inc's charging systems had been causing overheating and even the melting of connector plugs when charging vehicles, that despite efforts undertaken to transition ECOtality Inc's business model from subsidizing installations of EVSEs under the Department of Energy's ("DOE") EV Project to regular commercial sales and installations, ECOality Inc was not achieving enough commercial sales and installations to sustain operations in the second half of 2013, that due to "unacceptable performance shortfalls during prototype verification testing," ECOtality Inc was not on track to meet the scheduled release of a new Minit Charger product for industrial customers in the second half of 2013, that due to would-be potential investors' unwillingness to provide additionally needed financing, ECOtality Inc was unable to obtain the requisite financing to meet its short-term and long-term capital needs and would be unable to meet its obligations to the DOE's EV Project and the DOE would suspend all payments to ECOtality Inc, and that due to non-compliance with the nation's labor laws, ECOtality Inc was liable to the U.S. Department of Labor for $855,000 for the payment of back wages and damages.
On August 12, 2013, ECOtality Inc disclosed that ECOtality Inc's Board of Directors has retained a restructuring advisor. Among other things, ECOtality Inc also said that although ECOtality Inc is currently exploring options for a restructuring or sale of the entire business and/or assets of ECOtality Inc, it may need to file a petition commencing a case under the United States Bankruptcy Code as part of any such process or otherwise in the very near future. Shares of ECOtality Inc (NASDAQ: ECTY) declined to $0.22 on August 15, 2013.
Those who purchased shares of ECOtality Inc (NASDAQ: ECTY) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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