Class Action Lawsuit Filed Against RTI Surgical Holdings, Inc. On Behalf of Investors Who Purchased Shares of RTIX Stock Between March 7, 2016 and March 16, 2020 – Kehoe Law Firm, P.C. Investigating Securities Claims On Behalf of RTI Surgical Investors
According to the lawsuit, RTI Surgical Holdings, Inc. (“RTI Surgical” or the “Company”) (NasdaqGS: RTIX), throughout the Class Period between March 7, 2016 and March 16, 2020, both dates inclusive, made false and/or misleading statements and/or failed to disclose that: (1) the Company inappropriately recognized revenues with respect to certain contractual arrangements, including other equipment manufacturer customers; (2) RTI Surgical’s internal controls over financial reporting were not effective; (3) as a result, RTI Surgical would be forced to delay the filing of its Form 10-K for fiscal year ended December 31, 2019; and (4) as a result, defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
RTI Surgical Announces Delay In Filing Form 10-K For Fiscal Year 2019 – RTIX Conducting Internal Investigation of Current and Prior Period Matters Relating to Revenue Recognition Practices Regarding Certain Contractual Arrangements
On March 16, 2020, RTI Surgical announced that it will delay filing its Form 10-K for the fiscal year which ended December 31, 2019. The Company stated that its
. . . Audit Committee (the “Audit Committee”) of the Company’s Board of Directors, with the assistance of independent legal and forensic accounting advisors, is in the process of conducting an internal investigation of current and prior period matters relating to the Company’s revenue recognition practices regarding the timing of revenue with respect to certain contractual arrangements, primarily with OEM customers, including the accounting treatment, financial reporting and internal controls related to such arrangements. The Audit Committee investigation was precipitated by an ongoing SEC investigation related to the periods 2014 through 2016. The Company will not be in a position to file its Form 10-K until the Audit Committee concludes its investigation and the Company and its independent auditor assess the results of that investigation. The Company is working to complete its analysis and file its Form 10-K for the year ended December 31, 2019 within the extension period (through March 31, 2020), but no assurance can be given that it will be able to do so. [Emphasis added.]
RTI Surgical investors who purchased, or otherwise acquired, RTIX securities during the Class Period and suffered losses are encouraged to contact either Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected], [email protected], or John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected], to discuss the class action lawsuit or potential legal claims.