855.846.6529 tmiles@timmileslaw.com

SHAREHOLDER ALERT / 06.28.2019

Health Insurance Innovations, Inc. (HIIQ) Accused of Misleading Investors

According to the complaint against the company’s officers and directors for alleged breaches of fiduciary duties and gross mismanagement, Health Insurance Innovations, Inc. (HIIQ) filed its Florida third-party administrator (“TPA”) application in July 2016, which HIIQ needed to operate its core business. While HIIQ was in its application process, the company was under investigation for allegedly fraudulent business practices in 42 states. HIIQ’s Florida TPA application was denied in June 2017, due to material errors and omissions, including the omission that two of its officers had been named in lawsuits “involving dishonesty, breach of trust or a financial dispute.” HIIQ concealed the denial until it filed its August 4, 2017 Form 10-Q, which failed to disclose the necessity of obtaining a TPA license and deliberately understated the potentially devastating consequences the denial would have on company operations. Then, in September 2017, Seeking Alpha released an article revealing the disastrous “domino effect” the TPA denial caused, including loss of additional licenses. On this news, the share price declined by 37%, closing at $19.75, and has yet to recover.

If you are a concerned shareholder who owns shares in HIIQ and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.27.2019

Shareholder Investigation of Cloudera, Inc. by the Law Offices of Timothy L. Miles

Cloudera, Inc. (CLDR) Accused of Inflating Stock Price

According to the complaint against the company for alleged violations of the Securities Exchange Act of 1934 between April 28, 2017 and June 5, 2019, Cloudera, Inc. (CLDR) went public in an initial public offering in April 2017 for $258 million in gross proceeds. The company’s registration documents highlighted its rapid historical growth and potential for positive cash flow and profit. However, the company failed to disclose how its technology had become increasingly dated, and was being surpassed by competitors that offered a more fully integrated product. In April 2018, Cloudera provided a disappointing outlook for fiscal year 2019 and revealed a sharp slowdown in its new expansion bookings. On this news, Cloudera’s stock price fell 40%. In January 2019, Cloudera acquired Hortonworks. Shortly thereafter, Cloudera revealed that the merger would reduce 2020 cash flows by $125 million. On this news, Cloudera’s stock price fell almost 20%. In June 2019, Cloudera announced CEO Tom Reilly’s abrupt retirement as analysts discussed the abandoning of Cloudera’s Hadoop-based platform as obsolete. On this news, Cloudera’s stock fell 40% to close at $5.21 per share.

If you are a concerned shareholder who owns shares in CLDR and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.27.2019

Shareholder Investigation of Pintec Technology by the Law Offices of Timothy L. Miles

Pintec Technology Holdings Limited (PT)‘s Stock Falls Far Below IPO Price

In October 2018, Pintec Technology Holdings Limited (PT) completed its initial public offering (“IPO”), selling 3.7 American Depository Shares (“ADSs”) at $11.88 per share. Then on April 30, 2019, Pintec admitted that it would be unable to file its 2018 annual report on time, which was its first Form 20-F filing since it had gone public. Since then, Pintec shares have traded as low as $2.80 per share, a 76% decline from its IPO price. The investigation focuses on whether Pintec issued false or misleading statements about the company’s condition and failed to disclose pertinent information to investors.

If you are a concerned shareholder who owns shares in PT and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.27.2019

Shareholder Investigation of Teladoc Health by the Law Offices of Timothy L. Miles

Teladoc Health, Inc. (TDOC)‘s Officers and Directors Accused of Failing to Disclose Conduct Violations to Investors

According to the complaint against the company’s officers and directors for breaches of fiduciary duties, unjust enrichment, abuse of control, gross mismanagement, and violations of the Securities Exchange Act of 1934 between March 3, 2016 and the present, Teladoc Health, Inc. (TDOC)’s executives allowed multiple violations that hurt the company, including an inappropriate relationship between an executive and lower-level employee, insider trading, harassment of the Company’s employees, and retaliation against a whistleblower. Teladoc executives breached their fiduciary duties by misleading shareholders through materially false statements that failed to disclose this inappropriate activity and their lack of enforcement of Teladoc’s conduct policies. In December 2018, Southern Investigative Reporting Foundation published an article that revealed all of Teladoc executives’ violations. On this news, Teladoc stock fell $4.00, over 6.5%, to close at $55.81. As a result of their materially false and misleading statements, the CEO and CFO have been named as defendants in a securities fraud class action lawsuit that Teladoc is required to defend, further injuring shareholders.

If you are a concerned shareholder who owns shares in TDOC and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.26.2019

Shareholder Investigation of Kingstone by the Law Offices of Timothy L. Miles

Kingstone Companies, Inc. (KINS) Failed to Record Sufficient Claims Reserves

According to the complaint for alleged violations of the Securities Exchange Act of 1934 between March 14, 2018 and April 29, 2019, throughout the relevant period, Kingstone Companies, Inc. (KINS) continually affirmed the company’s internal control over financial reporting in its quarterly financial reports to the SEC for the full 2018 year. However, these reports proved to be materially false and misleading as they failed to disclose that Kingstone was not adequately following best practices for claims handling, which resulted in the company failing to record sufficient claims reserves. The lack of adequate control over financial reporting became clear in April 2019, when Kingstone had a $2.5 million charge to its IBNR reserves, based on a “comprehensive review of [the Company’s] claims operations.” As a result of the charges, the company expected to end the full year “with a combined ratio excluding catastrophe losses of 88% to 91% and catastrophe losses of 4 to 5 points” and reduced its full year 2019 revenue guidance. On this news, the company’s share price fell $2.07, over 15%, to close at $11.61 per share, and continues to fall.

If you are a concerned shareholder who owns shares in KINS and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.26.2019

Shareholder Investigation of Zuora, Inc.  by the Law Offices of Timothy L. Miles

Zuora, Inc. (ZUO) Accused of Misleading Investors

According to the complaint for alleged violations of the Securities Exchange Act of 1934 between April 12, 2018 and May 30, 2019, in March 2019, Zuora, Inc. (ZUO) announced its financial results for the full 2019 fiscal year and projected that its revenue for the 2020 fiscal year would fall in the range of $289 million to $293.5 million, which it reaffirmed in its April 2019 Form 10-K. However, these reports were materially false and misleading as they failed to disclose adverse facts regarding the company’s integration of its flagship product, RevPro. To comply with the new accounting standard ASC 606, Zuora had to implement RevPro for new customers before the ASC 606 deadline, which depleted the company’s available resources for integrating RevPro with its core business. This resulted in delays in RevPro’s integration that materially affected Zuora’s business. These adverse effects became evident in May 2019, when Zuora lowered its fiscal 2020 revenue guidance to a range of $268 million to $278 million from the previous range of $289 million to $293.5 million. On this news, the company’s share price fell $5.91 per share, nearly 30%, to close at $13.99.

If you are a concerned shareholder who owns shares in ZUO and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.26.2019

Shareholder Investigation of Eros International by the Law Offices of Timothy L. Miles

Eros International PLC (EROS) Accused of Fabricating Trade Receivables to Mislead Shareholders

According to the complaint against the company for alleged violations of the Securities Exchange Act of 1934 between July 28, 2017 and June 5, 2019, Eros International PLC (EROS) issued a series of misleading and materially false reports that failed to disclose the reality of its weak financial position and falsely assured the effectiveness of the company’s financial reporting. In reality, many of the receivables touted in these reports did not exist but were rather a result of Eros and its executives using related-party transactions to fabricate trade receivables. Despite this attempt to hide their true financial position, Eros’ Indian subsidiary missed loan payments and its credit rating was downgraded to “Default” in June 2019 because of “ongoing delays/default in debt servicing due to slowdown in collection from debtors.” On this news, Eros shares fell $3.59, over 49%, to close at $3.71. The next day, Hindenburg Research published an article revealing Eros’ accounting irregularities and its executives’ scheme to hide receivables. On this news, the stock dropped another 11% and has since continued to fall. Today the stock trades under $2.00.

If you are a concerned shareholder who owns shares in EROS and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.21.2019

Shareholder Investigation of Mammoth Energy by the Law Offices of Timothy L. Miles

Mammoth Energy Services, Inc. (TUSK) Subsidiary’s Contracts Are Being Investigated

According to the complaint for alleged violations of the Securities Exchange Act of 1934 between October 19, 2017 and June 5, 2019, Mammoth Energy Services, Inc. (TUSK) failed to disclose that its subsidiary, Cobra Acquisitions LLC, had entered into two contracts totaling approximately $1.8 billion of services with Puerto Rico Electric Power Authority (“PREPA”) to aid in Puerto Rico’s rebuilding efforts. In May 2019, the Wall Street Journal revealed that the Department of Homeland Security was investigating FEMA Deputy Regional Administrator, who was placed on administrative leave, over allegations that she steered work to Cobra. On this news, Mammoth’s shares fell over 10% over the next three trading days. Then, in June 2019, The Wall Street Journal published another article reporting that the FBI had opened a related criminal inquiry into the origin of Cobra’s contracts with PREPA. On this news, Mammoth’s shares fell over 45% over the next two trading days to close at $6.11 per share on June 6, 2019, and have yet to recover.

If you are a concerned shareholder who owns shares in TUSK and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.21.2019

Shareholder Investigation of PriceSmart, Inc. by the Law Offices of Timothy L. Miles

PriceSmart, Inc. (PSMT) Accused of Misleading Investors

According to the complaint for alleged violations of the Securities Exchange Act of 1934 between October 26, 2017 and October 25, 2018, in 2017, PriceSmart, Inc. (PSMT) disclosed how it experienced a lack of availability of U.S. dollars in certain markets, including Trinidad, which impedes its ability to convert local currencies to settle U.S. dollar liabilities and increases its foreign exchange exposure to any devaluation of the local currency relative to the U.S. dollar. In subsequent quarterly and annual filings, PriceSmart reported revenue, net income, and cash and cash equivalents. However, those filings were false, as they failed to disclose that PriceSmart invested Trinidad and Tobago dollars into certificates of deposits and then improperly classified them as cash and cash equivalents. In October 2018, PriceSmart announced the resignation of Chief Executive Officer Jose Luis Laparte, and further disclosed that certain financial statements would have to be restated to correct the balance sheet misclassification of certain assets. On this news, PriceSmart’s stock fell over 15% to close at $69.16 per share on October 26, 2018, and continues to fall.

If you are a concerned shareholder who owns shares in PSMT and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.20.2019

Shareholder Investigation of Pyxus International by the Law Offices of Timothy L. Miles

Pyxus International, Inc. (PYX) Accused of Misleading Shareholders

According to the complaint against the company for alleged violations of the Securities Exchange Act of 1934 between June 7, 2018 and November 8, 2018, Pyxus International, Inc. (PYX) made misleading positive statements about its business and operations. The truth was revealed on November 8, 2018, when Pyxus announced that its sales had declined approximately 12% year-over-year due to the timing of shipments and the larger crop in South America. On this news, Pyxus’ share price fell $7.02, or almost 28%, to close at $18.26 per share. The following day, the SEC announced that Pyxus had settled charges for materially misstating financial statements from 2011 to the second quarter of 2015 due to improper accounting, processes, and control activities for inventory, deferred crop costs, and revenue transactions in Africa. On this news, Pyxus’ stock fell nearly 16% to close at $15.38 per share, and has yet to recover.

If you are a concerned shareholder who owns shares in PYX and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.

SHAREHOLDER ALERT / 06.20.2019

Shareholder Investigation of Pivotal Software by the Law Offices of Timothy L. Miles

Pivotal Software, Inc. (PVTL) Accused of Inflating IPO Price

According to the complaint against the company for alleged violations of the Securities Act of 1933 pursuant to its April 2018 initial public offering (“IPO”), Pivotal Software, Inc. (PVTL) went public in an initial public offering on April 19, 2018 for $638 million in gross proceeds. However, Pivotal failed to disclose it was already experiencing diminished growth prospects as customers and industry sentiment shifted away from Pivotal’s principal offering because it was outdated and incompatible with the industry standard platform. As the truth was revealed, Pivotal shares plummeted. On June 4, 2019, Pivotal reported disappointing financial and operating results, which it attributed to sales execution challenges with its disjointed product offering and the need to reengineer its primary PAS. On this news, Pivotal’s stock fell over 40% to close at $10.89 per share.

If you are a concerned shareholder who owns shares in PVTL and would like more information about your rights and potential remedies you can call us toll free at (855) TIM-MLAW (855-846-6529) or send us a message on our contact page or by clicking here.