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ELMS FINAL ALERT: Hagens Berman, National Trial Attorneys, Alerts Electric Last Mile Solutions (ELMS, FIII, FIIIU, FIIIW) Investors to Today’s Lead Plaintiff Deadline in Securities Class ActionApr 4th, 2022 8:31 EST
ELMS FINAL ALERT: Hagens Berman, National Trial Attorneys, Alerts Electric Last Mile Solutions (ELMS, FIII, FIIIU, FIIIW) Investors to Today’s Lead Plaintiff Deadline in Securities Class Action
San Francisco, California–(Newsfile Corp. – April 4, 2022) – Hagens Berman urges Electric Last Mile Solutions, Inc. (NASDAQ: ELMS) investors and Forum Merger III Corporation (NASDAQ: FIII) (NASDAQ: FIIIU) (NASDAQ: FIIIW) investors with significant losses to submit your losses now. A securities class action has been filed.
Electric Last Mile Solutions, Inc. (ELMS) Securities Class Action:
The litigation focuses on Electric Last Mile’s admitted false financial statements.
The complaint alleges defendants misrepresented and concealed that: (1) ELMS’s earlier reported financial statements were false; (2) the company’s financial statements required restatement; (3) certain ELMS executives or directors purchased ELMS securities at substantial market discounts without first obtaining independent valuations; and, (4) the company’s board had formed a special committee on Nov. 25, 2021, to investigate the purchases.
On Feb. 1, 2022, Electric Last Mile announced the formation of the special committee on Nov. 25, 2021, and that: (1) previously issued financial statements as of Dec. 31, 2020 and the period from Aug. 20, 2020 (inception) through Dec. 31, 2020 should be restated and no longer relied on; (2) its financial statements as of and for the six months ended June 30, 2021 and the nine months ended Sept. 30, 2021 should no longer be relied on; (3) equity issuances to co-founder Jaxon Luo and CEO James Taylor were at significant discounts and the related accounting treatment is still under evaluation; and, (4) Luo and Taylor resigned effective immediately. The special committee noted Luo’s and Taylor’s responses to the committee are believed to be inconsistent with documents it and counsel reviewed.
Most recently, on Mar. 11, 2022, the company announced that the SEC has opened an investigation.
These events sent the company’s share price crashing lower.
“We’re focused on investors’ losses and proving Electric Last Mile insiders engaged in accounting fraud by under-reporting equity issuances to themselves,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Electric Last Mile Solutions and have significant losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Electric Last Mile Solutions should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
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About Hagens BermanHagens Berman is a national law firm with eight offices in eight cities around the country and over eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/119059