BALA CYNWYD, PA / ACCESSWIRE / August 10, 2019 / Law office of Brodsky & Smith, LLC announces that it is investigating potential claims against Eros International PLC (“Eros” or “the Company”) (NYSE -EROS) for possible breaches of Federal Securities law.
The Complaint alleges that, on June 5, 2019, CARE Ratings, India’s second largest credit ratings agency, downgraded the credit rating for Eros International Media Ltd (“EIML”), Eros’s Indian subsidiary, to “Default” as a result of “ongoing delays/default in debt servicing due to slowdown in collection from debtors.” Thereafter, on June 6, 2019, Eros issued a press release acknowledging that EIML was late on loan interest payments for both April and May 2019. Following this news, Eros shares dropped to $3.59, over 49%, to close at $3.71 per share on June 6, 2019.
According to the Complaint, Defendants made false and/or misleading statements and/or failed to disclose that: (1) Eros and its executives engaged in a scheme to use related-party transactions to fabricate receivables that they reported in Eros’s public financial disclosures; (2) because of this scheme, Eros’s financial position was weaker than what the Company disclosed; (3) consequently, EIML, the Company’s Indian subsidiary, missed loan payments and had its credit downgraded; and (4) due to the foregoing, Defendants’ statements about Eros’s receivables, business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
If you purchased shares of Eros between July 28, 2017 and June 5, 2019 and wish to discuss the legal ramifications of the investigation, or have any questions, you may e-mail or call the law office of Brodsky & Smith, LLC who will, without obligation or cost to you, attempt to answer your questions. The deadline for filing is August 20, 2019. You may contact Marc Ackerman, Esquire or Jordan Schatz, Esquire at Brodsky & Smith, LLC, Two Bala Plaza, Suite 510, Bala Cynwyd, PA 19004, or by calling toll free 877-534-2590. For additional information, go to http://www.brodskysmith.com/cases/eros-international-plc-nyse-eros-2/
Brodsky & Smith, LLC is a litigation law firm with extensive expertise representing shareholders throughout the nation in securities and class action lawsuits. The attorneys at Brodsky & Smith have been appointed by numerous courts throughout the country to serve as lead counsel in class actions and have successfully recovered millions of dollars for our clients and shareholders. Attorney advertising. Prior results do not guarantee a similar outcome.
SOURCE: Brodsky & Smith, LLC
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