San Diego, CA -- (SBWIRE) -- 04/11/2012 -- An investigation on behalf of investors in shares of MTS Systems Corporation (NASDAQ:MTSC) over breaches of fiduciary duties by certain officers and directors at MTS Systems Corporation was announced.
Investors who purchased shares of MTS Systems Corporation (NASDAQ:MTSC) have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 - 1554.
The investigation by a law firm focuses whether certain directors and officers at MTS Systems Corporation (NASDAQ:MTSC) breached their fiduciary duties. Specifically, the investigation concerns also whether certain MTS Systems’ directors and officers were aware, or should have been aware, of any improper payments to foreign government officials in violation of the U.S. Foreign Corrupt Practices Act, which prohibits companies from making improper payments to foreign officials for the purpose of obtaining or keeping business.
MTS Systems Corporation (NASDAQ:MTSC) reported that its Total Revenue rose from $374.05million for a 12months period ending on Oct. 2, 2010 to $467.37million for a 12months period ending on Oct. 1, 2011 and its Net Income increased for the same time period from $18.58million to $50.94million.
In January 2011, the U.S. Department of Commerce and the U.S. Attorney’s Office for the District of Minnesota began an investigation into MTS Systems’ past disclosures on the Government’s Online Representations and Certifications Application (“ORCA Certification”) and later expanded the scope of its inquiries to include MTS Systems’ ORCA Certifications and Government contracting compliance policies and general compliance record and practices in areas including export controls and government contracts.
Then in August 2011 MTS Systems Corporation announced that William V. Murray, will served as interim CEO and David J. Anderson as non-executive chair of the Board after Laura Hamilton left the company by mutual agreement with the board.
Shares of MTS Systems Corporation (NASDAQ:MTSC) rose from as low as $20.49 in April 2009 to over $50 in March 2012.
Then on March 27, 2012, MTS Systems Corporation disclosed that it is investigating certain gift, travel, entertainment and other expenses that may have been improperly incurred in connection with some of the Company’s operations in the Asia Pacific region.
MTS Systems Corporation said its investigation has focused on possible violations of Company policy, corresponding internal control issues and any possible violations of applicable law, including the Foreign Corrupt Practices Act.
Furthermore MTS Systems Corporation said it fired certain persons formerly employed in its Korea office and that it voluntarily disclosed this matter to the U.S. Department of Justice and the U.S. Securities and Exchange Commission.
Following the announcement NASDAQ:MTSC shares fell from $54.57 on March 27, 2012 to $52.29 per share on March 28, 2012.
Then on April 3, 2012 MTS Systems Corporation announced that it has named Jeffrey Graves as its new chief executive officer effective May 7. Graves succeeds William V. Murray, who has served as interim CEO since August, 2011.
NASDAQ:MTSC fell from $53.67 on April 3, 2012 to as low as $50.16 during April 5, 2012.
Those who purchased shares of MTS Systems Corporation (NASDAQ:MTSC), have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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