Jan 10, 2017 | Securities Class Action Archive
The Kehoe Law Firm, P.C. is investigating claims on behalf of purchasers of General Cable Corporation (NYSE: BGC) common stock to determine whether General Cable Corporation (“General Cable” or “the Company”) and its executives violated federal securities laws or breached their fiduciary duties by failing to disclose that the Company might have engaged in activities in Angola, Bangladesh, China, Egypt, Indonesia, and Thailand that violated the Foreign Corrupt Practices Act (“FCPA”).
General Cable’s Alleged Violations
A recent U.S. Department of Justice (“DOJ”) press release stated:
According to General Cable’s admissions, some parent-level and subsidiary-level employees, including executives, knew that some of its foreign subsidiaries used third-party agents and distributors to make corrupt payments to foreign officials in order to obtain and retain business. In one case the foreign subsidiary made corrupt payments directly to foreign officials. The corrupt conduct began in 2002. In 2011, when employees from a General Cable subsidiary expressed concerns to regional and parent-level executives that commission payments were being used for improper purposes, including potentially bribery, General Cable nevertheless failed to implement and maintain a system of internal accounting controls designed to detect and prevent such corruption and otherwise illegal payments.
Further, DOJ reported that “[b]etween 2002 and 2013, General Cable subsidiaries paid approximately $13 million to third-party agents and distributors, a portion of which was used to make unlawful payments to obtain business, ultimately netting the company approximately $51 million in profits.
General Cable’s Payments to the Government
On December 29, 2016, General Cable Corporation (“GCC”) agreed to pay the U.S. Department of Justice and the Securities and Exchange Commission (“SEC”) $75.75 million to resolve the FCPA violations.
According to DOJ’s press release, the Company entered into a non-prosecution agreement with the Justice Department on December 22, 2016 and agreed to pay a $20.4 million criminal penalty.
According to an SEC Cease and Desist Order, General Cable agreed to pay more than $55.3 million in disgorgement and prejudgment interest.
What If I’m a General Cable Shareholder?
If you currently are a shareholder of General Cable Corporation common stock acquired in 2013 or earlier, and wish to discuss the Kehoe Law Firm’s investigation of General Cable, please contact the Kehoe Law Firm, P.C. by completing the form on the right or by calling Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, [email protected]; John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected]; or by sending an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Jan 9, 2017 | Consumer Protection, Employment & Technology Archive
A class-action lawsuit filed on December 13, 2016 in United States District Court, Eastern District of New York, Malhotra, et al. v. Kohl’s Corporation and Mercantile Adjustment Bureau LLC, claims Kohl’s violated the Fair Debt Collection Practices Act (“FDCPA”) by, allegedly, failing to include required disclosure language on Kohl’s debt collection letters.
Kohl’s Debt Collection Letters
The complaint alleges that the plaintiff received a collection letter, dated December 11, 2015, from Kohl’s stating that plaintiff’s debt is owed and should be paid to Kohl’s. According to the complaint, Mercantile Adjustment Bureau (“MAB”) subsequently sent the plaintiff a collection letter, dated January 15, 2016, stating that the current and original creditor is Capital One, N.A. Plaintiff claims that he is uncertain whether his creditor is Kohl’s or, as claimed by MAB, Capital One, N.A.
Why do the collection letters matter?
According to the class-action lawsuit, if the debt is owed to Capital One N.A., then, per the FDCPA, Kohl’s is a debt collector; if the debt is owed to Kohl’s, MAB’s collection letter is false.
Of significance, the plaintiff claims, among other things, that Kohl’s violated the FDCPA by failing to:
“. . . send the consumer a written notice containing a statement that unless the consumer, within thirty days after receipt of the [debt collection] notice, disputes the validity of the debt, or any portion thereof, the debt will be assumed to valid by the debt collector[;]”
“. . . send the consumer a written notice containing a statement that if the consumer notifies the debt collector in writing within the thirty-day period that the debt, or any portion thereof, is disputed, the debt collector will obtain verification of the debt or a copy of a judgment against the consumer and a copy of such verification or judgment will be mailed to the consumer by the debt collector[;]” and
“. . . send the consumer a written notice containing a statement that, upon the consumer’s written request within the thirty-day period, the debt collector will provide the consumer with the name and address of the original debtor, if different from the current creditor.”
Moreover, the lawsuit claims that one, if not both, debt collection letters were deceptive in violation of the FDCPA by not clearly and explicitly conveying the name of the creditor to which plaintiff’s debt is owed and, thus, “. . . us[ed] a false, deceptive and misleading representation in [an] attempt to collect a debt.”
Who may have been affected?
Anyone who owed a debt to Kohl’s and received similar letters attempting to collect on that debt may be eligible to join the suit. While the current claim only applies to New York residents, residents of other states who received similar letters may be eligible to bring their own claims.
What can those who may have been affected do?
The Kehoe Law Firm is ready to help. Anyone who has incurred a debt primarily for personal, family or household purposes and received a Kohl’s debt collection letter can speak to an attorney for a free, no-obligation consultation by calling Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, or sending an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Jan 6, 2017 | Consumer Protection, Employment & Technology Archive
A class action lawsuit has been filed against Samsung Electronics America, Inc. (“Samsung”) in United States District Court for the Northern District of Illinois. The complaint alleges that Samsung QWERTY remotes, included with certain Samsung Smart TVs, has a design defect that leads to excessive heat and premature device failure. In the worst cases, the defect can cause the remote’s batteries to catastrophically fail and leak acid.
Samsung’s Alleged Defective Design
According to the complaint, Samsung designed the remotes to allow for easier use of its Smart TVs – television sets with built-in Internet connectivity. The two-sided remotes featured what appeared to be a traditional television remote on one side, and a keyboard on the opposite side. The remotes, however, contained much more sophisticated electronics, including Bluetooth technology, which the remotes used instead of infrared beams to send information to the television sets. The complaint alleges that the Bluetooth technology and other electronics require a stronger power source, but rather than build the remotes with a stronger battery, Samsung “defectively shoehorned four AAA-sized batteries into the middle of the remote.” According to the complaint, this design is defective and causes the QWERTY remotes to generate excessive heat, prematurely fail, and cause their batteries to leak a dangerous substance.
Why does Samsung’s alleged defective design matter?
Besides the possible harm that could be caused by a battery leaking acid, the complaint states that Smart TVs that include the remote are sold at a premium compared to televisions sold without the remotes. Further, the QWERTY remotes themselves are more expensive to replace than standard infrared remotes. If the defect causes the remotes to prematurely fail, consumers are not getting the additional value that they paid for when they purchased the marked-up Smart TVs.
Who may have been affected?
Anyone who purchased a Samsung television that included a remote control, model number BN59-01134B, may be eligible to bring a claim. The remote, pictured below, features what appears to be a standard remote on one side, and a QWERTY-type keyboard on the opposite side.
What can those who may have been affected do?
The Kehoe Law Firm is ready to help. Anyone who believes they have purchased a defective remote can speak to an attorney for a free, no-obligation consultation by calling Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, or sending an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Dec 27, 2016 | Consumer Protection, Employment & Technology Archive
In a recent press release, Quest Diagnostics Incorporated (“Quest”) announced that it was investigating an unauthorized third-party intrusion into one of its Internet applications that compromised the Protected Health Information (“PHI”) of approximately 34,000 individuals.
Quest’s Data Breach
According to the press release, on November 26, 2016, an unauthorized third party accessed Quest’s MyQuest by Care360 application and obtained information including names, dates of birth, lab results, and, in some instances, telephone numbers. Quest stated that the information accessed did not include Social Security numbers, credit card numbers, insurance or other financial information. Quest stated that the vulnerability in its application was immediately addressed and that Quest is taking steps to prevent similar incidents from happening in the future.
Who may have been affected?
According to the press release, approximately 34,000 individuals have been affected, and Quest has notified them all by mail.
What can those who may have been affected do?
Anyone who feels they may have been harmed by the breach can contact the Kehoe Law Firm for help. Those who have been notified by Quest that their information was affected and has noticed unusual activity related to their Protected Health Information can speak to an attorney for a free, no-obligation consultation by calling Michael Yarnoff, Esq. at (215) 792-6676, Ext. 804, or sending an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
Dec 5, 2016 | Consumer Protection, Employment & Technology Archive
Southern Telecom, Inc. (“Southern Telecom”), a manufacturer of audio components, has been sued in United States District Court in the District of Massachusetts. The complaint alleges Southern Telecom misled consumers by manufacturing a stereo tower speaker that appears to have four speakers, when, in fact, two of the speakers are non-operational “dummy” components.
Southern Telecom’s Alleged “Dummy” Components
According to the complaint, the plaintiff purchased a Polaroid Bluetooth Tower Speaker, model number PBT3012, through Amazon.com. The product, pictured right, appears to have four speakers, however, only the top and bottom speakers are operational. A photograph of the interior of the product, provided in the complaint, shows that the middle speakers lack any basic parts and wiring that would make them functioning speakers.
Why do the “Dummy” components matter?
According to the complaint, the plaintiff would not have purchased the product had it not been for the false impression that it had four speakers. By including the “dummy” components, Southern Telecom is giving consumers the false impression that their product is worth a high price. As a result, consumers may be paying more for the product than they would if the two working speakers were the only ones displayed.
Who may have been affected?
Anyone who purchased a Polaroid speaker, model PBT3012, may have been harmed by the alleged misrepresentation by Southern Telecom. Although the plaintiff in the complaint purchased the product on Amazon.com, the Polaroid speaker is sold through multiple channels including Big Lots and Bed Bath & Beyond.
Southern Telecom also manufactures similar tower speakers under different brands. Other models include the Sharper Image Stereo Tower Speaker, model SBT1012, and the Art+Sound Bluetooth Wireless Tower Speaker, model AR1002. While it is unknown whether these models actually contain dummy components, their similarity to the Polaroid speaker may warrant further investigating.
What can those who may have been affected do?
The Kehoe Law Firm is ready to help. Anyone who believes they have purchased speaker with dummy components manufactured by Southern Telecom can speak to an attorney for a free, no-obligation consultation by calling Michael Yarnoff, Esq., (215) 792-6676, Ext. 804, or sending an e-mail to [email protected].
Kehoe Law Firm, P.C. is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors and consumers from corporate fraud, negligence, and other wrongdoing. Driven by a strong and principled sense of social responsibility and obtaining justice for the aggrieved, Kehoe Law Firm, P.C. represents plaintiffs seeking to recover investment losses resulting from securities fraud, breaches of fiduciary duty, corporate wrongdoing or malfeasance, those harmed by anticompetitive practices, and consumers victimized by fraud, false claims, deception or data breaches. Together, the partners of the Kehoe Law Firm, P.C. have spent more than 30 years prosecuting precedent-setting securities and financial fraud cases in federal and state courts on behalf of institutional and individual clients.
