Tangoe, Inc. (Nasdaq: TNGO)
A class action lawsuit has been filed in the United States District Court for the District of New Jersey on behalf of purchasers of Tangoe, Inc. (Nasdaq: TNGO) common stock during the period between March 18, 2014 to March 7, 2016, inclusive (the “Class Period”).
The complaint alleges that throughout the Class Period, defendants issued false and misleading statements and/or failed to disclose adverse information regarding the Company’s financial results, including that defendants had made errors in recognizing revenue and, as a result, Tangoe's financial results for fiscal years 2013 and 2014, all quarters therein, and the first three quarters of 2015 would need to be restated. These false statements and/or omissions caused Tangoe securities to trade at artificially inflated prices during the Class Period, with its stock price reaching close to $18 per share.
Then, after the market closed on March 7, 2016, the Company issued a press release announcing that it would restate its financial statements. The release stated that “the Company will restate its financial statements for the years 2013 and 2014, all quarters therein, and the first 3 quarters of 2015.” The Company also stated that it did not expect to file its Annual Report on Form 10-K by the scheduled date, and that “[i]nvestors should no longer rely upon the Company’s previously released financial statements for the time periods cited . . . or on the earnings releases for these periods; reports by BDO USA, LLP – the Company’s independent registered public accounting firm (“BDO”) – on such financial statements, including its reports on the Company’s internal controls over financial reporting; and other communications relating to these financial statements.” The Company stated that the restatement was based on its “conclusion that it made errors in recognizing revenue, primarily form business activities that are ancillary to the Company’s core business,” including “non-recurring revenue from strategic consulting and bill audit services with contingent fee arrangements.” As a result of this announcement, the price of Tangoe shares fell 9% to close at $7.75 per share on March 8, 2016.
If you are a current shareholder and/or purchased stock between March 18, 2014 to March 7, 2016, and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.
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