NEW YORK, NY / ACCESSWIRE / November 13, 2019 / Pomerantz LLP is investigating claims on behalf of investors of Fresenius Medical Care AG & Co. KGaA ("Fresenius" or the "Company") (FMS). Such investors are advised to contact Robert S. Willoughby at firstname.lastname@example.org or 888-476-6529, ext. 9980.
The investigation concerns whether Fresenius and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On February 25, 2014, Fresenius filed its annual report for 2013 with the U.S. Securities and Exchange Commission ("SEC"), disclosing, in part, that "[w]e have received communications alleging certain conduct in certain countries outside the U.S. and Germany that may violate the FCPA [Foreign Corrupt Practices Act] or other anti-bribery laws, and our Audit and Corporate Governance Committee is conducting an internal review with the assistance of independent counsel retained for that purpose."
On February 25, 2015, Fresenius filed its annual report for 2014 with the SEC, disclosing that "[c]onduct has been identified that may result in monetary penalties or other sanctions under the FCPA or other anti-bribery laws. In addition, the Company's ability to conduct business in certain jurisdictions could be negatively impacted."
On February 26, 2018, Fresenius announced that it had "decided to establish a provision in the total amount of EUR 200m in its 2017 annual financial statements with respect to its ongoing settlement negotiations with the U.S. government regarding conduct that may have violated provisions of the U.S. Foreign Corrupt Practices Act."
Following this news, Fresenius's American depositary receipt price fell $1.82 per share, or 3.32%, to close at $52.92 per share on February 27, 2018.
On February 20, 2019, Fresenius filed its annual report for 2018, disclosing, in part, that it had recorded an additional charge of €77 million in 2018 "encompassing estimates for the government's claims for profit disgorgement, penalties, certain legal expenses, and other related costs or asset impairments believed likely to be necessary for full and final resolution, by litigation or settlement, of the claims and issues arising from the investigation."
Then, on March 29, 2019, the U.S. Department of Justice issued a press release announcing that Fresenius had "agreed to pay approximately $231 million to resolve investigations by the Department of Justice and the Securities and Exchange Commission (SEC) into violations of the Foreign Corrupt Practices Act (FCPA) in connection with Fresenius's participation in various corrupt schemes to obtain business in multiple foreign countries."
On October 21, 2019, Frankfurt prosecutors confirmed German media reports that Fresenius is under investigation for paying millions of dollars in bribes to doctors and state employees in 17 countries in order to persuade foreign clinics to establish dialysis wards and purchase Fresenius dialysis products. On this news, Fresenius's American depositary receipt price fell $2.03 per share, or 5.93%, to close at $32.21 per share on October 22, 2019.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
SOURCE: Pomerantz LLP
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