A lawsuit was filed on behalf of investors in OSI Systems, Inc. (NASDAQ:OSIS) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 01/10/2018 -- An investor, who purchased shares of OSI Systems, Inc. (NASDAQ:OSIS), filed a over alleged violations of Federal Securities Laws by OSI Systems, Inc. in connection with certain allegedly false and misleading statements.
Investors who purchased shares of OSI Systems, Inc. (NASDAQ:OSIS) have certain options and for certain investors are short and strict deadlines running. Deadline: February 5, 2018. NASDAQ:OSIS investors should contact the Shareholders Foundation at firstname.lastname@example.org or call 858-779-1554.
On January 18, 2012, OSI Systems, Inc announced that Rapiscan had been awarded a six-year, $400 million contract to provide turnkey screening services to Mexico's tax collection authority, Servicio de Administración Tributaria ("SAT") (the "Mexico Turnkey Contract").
On August 21, 2013, OSI Systems, Inc announced that Rapiscan had been awarded a fifteen-year contract to provide turnkey screening services throughout Albania, stating that "[t]he Company currently anticipates that total gross revenues may range from $150 million - $250 million over the term of the agreement."
The plaintiff alleges on behalf of purchasers of OSI Systems, Inc. (NASDAQ:OSIS) common shares between August 16, 2013 and December 5, 2017, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between August 16, 2013 and December 5, 2017, the Defendants made false and/or misleading statements and/or failed to disclose that the pricing for the Mexico Turnkey Contract was premised on misrepresentations by the Company to SAT regarding the capabilities of Rapiscan's equipment, and was accordingly overpriced relative to the value of the services provided to SAT, that consequently, the Mexico Turnkey Contract was unlikely to be renewed or was likely to be renewed at terms less favorable to OSI Systems, Inc., that the Company's revenues from the Mexico Turnkey Contract were therefore unsustainable, that OSI Systems, Inc. had secured the Albania Turnkey Contract by corrupt means, that the Company's revenues from the Albania Turnkey Contract were thus likewise unsustainable, that OSI Systems, Inc. suffered from systemic, Company-wide problems with respect to legal and regulatory compliance, and that as a result, OSI Systems, Inc's public statements were materially false and misleading at all relevant times.
On December 6, 2017, Muddy Waters Research published a report stating that OSI Systems "is rotten to the core" and "believe[s] [OSI Systems] obtained a major turnkey contract in Albania through corruption." The report further stated that "[f]ormer employees' statements support our view that OSIS is rotting from the inside." Shares of OSI Systems, Inc. (NASDAQ:OSIS) declined to $53.80 per share on December 6, 2017.
Those who purchased shares of OSI Systems, Inc. (NASDAQ:OSIS) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego