WILMINGTON, Del., March 6, 2015 /PRNewswire/ -- Rigrodsky
& Long, P.A.:
- Do you, or did you, own shares of
Appliance Recycling Centers of America, Inc. (NASDAQ CM:
ARCI)?
- Did you purchase your shares between
March 15, 2012 and February 11, 2015, inclusive?
- Did you lose money in your investment in
Appliance Recycling Centers of America, Inc.?
- Do you want to discuss your
rights?
Rigrodsky & Long, P.A., including former Special Assistant
United States Attorney, Timothy J.
MacFall, announces that a complaint has been filed in the
United States District Court for the Central District of
California on behalf of all
persons or entities that purchased the common stock of Appliance
Recycling Centers of America, Inc. ("ARCA" or the "Company")
(NASDAQ CM: ARCI) between March 15,
2012 and February 11, 2015,
inclusive (the "Class Period"), alleging violations of the
Securities Exchange Act of 1934 against the Company and certain of
its officers (the "Complaint").
If you purchased shares of ARCA during the Class Period, or
purchased shares prior to the Class Period and still hold
ARCA, and wish to discuss this action or have any questions
concerning this notice or your rights or interests, please contact
Timothy J. MacFall, Esquire or Peter
Allocco of Rigrodsky & Long, P.A., 2 Righter Parkway,
Suite 120, Wilmington, DE 19803 at
(888) 969-4242; by e-mail to info@rl-legal.com; or at:
http://www.rigrodskylong.com/investigations/appliance-recycling-centers-of-america-inc-arci.
The Complaint alleges that throughout the Class Period,
defendants made materially false and misleading statements, and
omitted materially adverse facts, about the Company's business,
operations and prospects. Specifically, the Complaint alleges
that the defendants concealed from the investing public that: (1)
ARCA's financial statements contained errors concerning sales tax
related to its appliance replacement programs; (2) the Company
lacked adequate internal controls over its financial reporting; and
(3) as a result of the foregoing, the Company's financial
statements were materially false and misleading at all relevant
times. As a result of defendants' alleged false and
misleading statements, the Company's stock traded at artificially
inflated prices during the Class Period.
According to the Complaint, on August 6,
2014, the Company announced that the California Board of Equalization ("BOE") was
conducting an examination of sales and use taxes covering ARCA's
appliance replacement sales. Then, on February 11, 2015, the Company issued a press
release announcing that it expected an assessment of at least
$4.0 million from the BOE, and that
the Company anticipated that a pre-tax charge to earnings would be
required and that previously issued unaudited consolidated
financial statement for the fiscal quarters ended March 29, June 28
and September 27, 2014 and
consolidated financial statements for the years ended December 28, 2013, December 29, 2012 and December 31, 2011 and the quarters in the years
then ended would need to be restated.
On this news, shares in ARCA dropped over 14%, closing at
$2.54 per share on February 12, 2015, on heavy trading volume.
If you wish to serve as lead plaintiff, you must move the Court
no later than May 5,
2015. A lead plaintiff is a representative party
acting on behalf of other class members in directing the
litigation. In order to be appointed lead plaintiff, the
Court must determine that the class member's claim is typical of
the claims of other class members, and that the class member will
adequately represent the class. Your ability to share in any
recovery is not, however, affected by the decision whether or not
to serve as a lead plaintiff. Any member of the proposed
class may move the court to serve as lead plaintiff through counsel
of their choice, or may choose to do nothing and remain an absent
class member.
While Rigrodsky & Long, P.A. did not file the Complaint in
this matter, the firm, with offices in Wilmington, Delaware and Garden City, New York, regularly litigates
securities class, derivative and direct actions, shareholder rights
litigation and corporate governance litigation, including claims
for breach of fiduciary duty and proxy violations in the
Delaware Court of Chancery and in
state and federal courts throughout the
United States.
Attorney advertising. Prior results do not guarantee a
similar outcome.
CONTACT:
Rigrodsky & Long, P.A.
Timothy J. MacFall, Esquire
Peter Allocco
(888) 969-4242
(516) 683-3516
Fax: (302) 654-7530
info@rl-legal.com
http://www.rigrodskylong.com
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visit:http://www.prnewswire.com/news-releases/rigrodsky--long-pa-announces-a-securities-fraud-class-action-lawsuit-has-been-filed-against-appliance-recycling-centers-of-america-inc-300047029.html
SOURCE Rigrodsky & Long, P.A.