WeissLaw LLP: Welbilt, Inc. is the Subject of a Legal Investigation
NEW YORK, NY / ACCESSWIRE / November 20, 2018 / WeissLawLLP, a national class action and shareholders' rights law firm with offices in New York, Los Angeles, and Atlanta, announces an investigation of Welbilt, Inc. ("Welbilt" or the "Company") (WBT). The investigation focuses on possible breaches of fiduciary duty and violations of the Federal securities laws.
If you own Welbilt shares and wish todiscuss this investigation or have any questions concerning this notice or yourrights or interests, please contact:
Joshua Rubin
WeissLaw LLP
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New York, NY 10036
(212) 682-3025
(888) 593-4771
stockinfo@weisslawllp.com
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On November 5, 2018, the Company filed a Form 8-K with the SEC cautioning that its 2016 and 2017 financial reports should no longer be relied on. According to Welbilt, errors associated with income tax calculations and the improper amortization of assets resulted in an understatement of the Company’s tax liability. On that news, the Company’s shares nosedived from its November 2, 2018 closing price of $19.32 per share to trade as low as $13.89 on November 5, 2018, losing 30% of its value.
A complaint has been filed in the United States District Court for the Middle District of Florida against the Company and certain officers for violations of the Federal securities laws. It alleges that Welbilt failed to disclose material information regarding the Company’s business operations and financial reporting. Namely, that Welbilt: (1) issued materially false and/or misleading financial statements; (2) knowingly and/or recklessly disseminated false and/or misleading documents to the investing public which resulted in the artificial inflation of the Company’s stock price; and (3) violated Federal securities laws by filing with the SEC false and/or misleading statements.
WeissLaw is investigating whether Welbilt's Board breached its fiduciary duties to the Company and its shareholders by, among other things, failing to ensure that an adequate system of internal controls was maintained over the Company’s operations and financial reporting. If you own Welbilt shares and wish to discuss this investigation or have any questions concerning this notice or your rights or interests, please contact Joshua Rubin of WeissLaw LLP at (888) 593-4771, or by e-mail at stockinfo@weisslawllp.com.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information), consumer fraud (including false advertising, defective products, or other deceptive business practices), or anti-trust violations, please email us at stockinfo@weisslawllp.com.
SOURCE: WeissLaw LLP