NEW YORK, Feb. 5, 2016 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Chipotle Mexican Grill, Inc. ("Chipotle" or the "Company") (NYSE: CMG) and certain of its officers.   The class action, filed in United States District Court, Southern District of New York, and docketed under 16-cv-00141, is on behalf of a class consisting of all persons or entities who purchased Chipotle securities between February 4, 2015 and January 5, 2016 inclusive (the "Class Period").  This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the "Exchange Act"). 

If you are a shareholder who purchased Chipotle securities during the Class Period, you have until March 8, 2016 to ask the Court to appoint you as Lead Plaintiff for the class.  A copy of the Complaint can be obtained at www.pomerantzlaw.com.   To discuss this action, contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll free, ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.

Chipotle, together with its subsidiaries, develops and operates fast-casual and fresh Mexican food restaurants. 

The Complaint alleges that throughout the Class Period, defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, defendants made false and/or misleading statements and/or failed to disclose that: (i) Chipotle's quality controls were not in compliance with applicable consumer and workplace safety regulations; (ii) Chipotle's quality controls were inadequate to safeguard consumer and employee health; and (iii) as a result of the foregoing, Chipotle's public statements were materially false and misleading at all relevant times. 

During the week of August 18, 2015, approximately 100 patrons and employees of a Chipotle restaurant in Simi Valley, California became ill.  On September 4, 2015, the Ventura County Environmental Health Division announced that the illnesses were a norovirus outbreak.  Health inspectors said that the restaurant in question contained dirty and inoperative equipment, equipment directly linked to the sewer, and other sanitary and health violations.

Between August 19 and September 3, 2015, approximately 64 people fell ill after dining at Chipotle restaurants in Minnesota.  On September 17, 2015, the Minnesota Department of Health announced that the illnesses were salmonella linked to tomatoes consumed at 22 Chipotle locations.  The affected restaurants changed tomato suppliers but did not close.

On or around November 1, 2015, Chipotle closed all of its restaurants in Portland, Oregon and Seattle, Washington, following reports of approximately 20 cases of E. coli by Chipotle patrons.

As a result of this news, Chipotle stock fell $16.23, or approximately 2.5%, to close at $624.00 on November 2, 2015.

Beginning on or around December 2, 2015, more than 140 Boston College students fell ill after dining at a Chipotle restaurant in Brighton, Massachusetts.  On December 9, 2015, health officials confirmed that the students had contracted norovirus.

As a result of this news, between December 1 and December 9, 2015, Chipotle stock fell $32.73, or roughly 5.6%, to close at $548.01 on December 9, 2015.

On January 6, 2016, pre-market, Chipotle announced that the company was served in December 2015 with a federal grand jury subpoena as part of a criminal investigation tied to the previous summer's norovirus outbreak at the Company's restaurant in Simi Valley.  The investigation is being conducted by the U.S. Attorney's Office for the Central District of California in conjunction with the Food and Drug Administration ("FDA").

On this news, Chipotle stock fell $22.36, or 4.98%, to close at $426.67 on January 6, 2016.

The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, 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 70 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

CONTACT:
Robert S. Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com

 

 

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SOURCE Pomerantz LLP

Copyright 2016 PR Newswire

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