(MENAFN- newsfile corp) grabar law office investigates claims on behalf of shareholders of catalent, inc. (ctlt)
philadelphia, pennsylvania--(newsfile corp. - june 26, 2023) - grabar law office is investigating potential claims on behalf of catalent, inc. (nyse: ctlt) shareholders. the investigation concerns whether certain officers of catalent have breached their fiduciary duties owed to the company.
the underlying securities fraud complaint alleges that by mid-2021, when covid-related work dropped off, defendants engaged in accounting and channel stuffing schemes to pad the company's revenues. it is further alleged that statements made by catalent, through certain of its officers, were materially false and misleading when made because they misrepresented or failed to disclose the following adverse facts, which were known to catalent's officers, or recklessly disregarded by them: (a) catalent materially overstated its revenue and earnings by prematurely recognizing revenue in violation of u.s. generally accepted accounting principles ("gaap"); (b) catalent had material weaknesses in its internal control over financial reporting related to revenue recognition; (c) catalent falsely represented demand for its products while it knowingly sold more product to its direct customers than could be sold to healthcare providers and end consumers; (d) catalent disregarded regulatory rules at key production facilities in order to rapidly produce excess inventory that was used to pad the company's financial results through premature revenue recognition in violation of gaap and/or stuffing its direct customers with this excess inventory; and (e) as a result of the foregoing, positive statements made by certain officers about the company's financial performance, outlook, and regulatory compliance were without merit.
current catalent shareholders who have held catalent stock since before august 30, 2021, can seek corporate reforms, the return of funds spent defending litigation back to the company, and a court approved incentive award, at no cost to them.
if you would like to learn more about this matter, you are encouraged to visit , contact us at , or call joshua grabar at 267-507-6085.
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contact:
joshua h. grabar, esq.
grabar law office
one liberty place
1650 market street, suite 3600
philadelphia, pa 19103
tel: 267-507-6085
email:
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