SHAREHOLDER ALERT: Brower Piven Encourages Investors Who Have Losses In Excess Of $100,000 From Investment In Medbox, Inc. To...
25 February 2015 - 9:56AM
Business Wire
The securities litigation law firm of Brower Piven, A
Professional Corporation, announces that a class action lawsuit has
been commenced in the United States District Court for the Central
District of California on behalf of purchasers of Medbox, Inc.
(“Medbox” or the “Company”) (Other OTC: MDBX) common stock during
the period between November 20, 2013 and December 29, 2014,
inclusive (the “Class Period”). Investors who wish to become
proactively involved in the litigation have until March 23, 2015 to
seek appointment as lead plaintiff.
If you have suffered a loss from investment in Medbox common
stock purchased on or after November 20, 2013 and held through the
revelation of negative information during and/or at the end of the
Class Period, as described below, and would like to learn more
about this lawsuit and your ability to participate as a lead
plaintiff, without cost or obligation to you, please visit our
website at http://www.browerpiven.com/currentsecuritiescases.html.
You may also request more information by contacting Brower Piven
either by email at hoffman@browerpiven.com or by telephone at (410)
415-6616. No class has yet been certified in the above action.
Members of the Class will be represented by the lead plaintiff and
counsel chosen by the lead plaintiff.
If you wish to choose counsel to represent you and the Class,
you must apply to be appointed lead plaintiff and be selected by
the Court. The lead plaintiff will direct the litigation and
participate in important decisions including whether to accept a
settlement and how much of a settlement to accept for the Class in
the action. The lead plaintiff will be selected from among
applicants claiming the largest loss from investment in Company
common stock during the Class Period. Brower Piven also encourages
anyone with information regarding the Company’s conduct during the
period in question to contact the firm, including whistleblowers,
former employees, shareholders and others.
The complaint accuses the defendants of violations of the
Securities Exchange Act of 1934 by virtue of the defendants’
failure to disclose during the Class Period that Medbox was
recognizing revenue before earned on certain customer contracts,
that Medbox was not complying with Generally Accepted Accounting
Principles or SEC rules and regulations and was ineligible for
listing on a national exchange, and that due to its financial
misstatements the Company was not in compliance with its debt
covenants or on track to achieve its financial targets during the
Class Period. According to the complaint, following the Company’s
December 30, 2014 announcement that it would be forced to restate
its financial reports for the past five quarters as well as
potentially its financial statements for 2012 and the first two
quarter of 2013 and that the earnings restatement had triggered a
default on its debt covenants that had forced the Company to seek
forbearance from lenders, the value of Medbox shares declined
significantly.
Attorneys at Brower Piven have extensive experience in
litigating securities and other class action cases and have been
advocating for the rights of shareholders since the 1980s. If you
choose to retain counsel, you may retain Brower Piven without
financial obligation or cost to you, or you may retain other
counsel of your choice. You need take no action at this time to be
a member of the class.
Brower Piven, A Professional CorporationCharles J. Piven,
410-415-66161925 Old Valley RoadStevenson, Maryland
21153hoffman@browerpiven.com