LOS ANGELES–(BUSINESS WIRE)–$INS #CLASSACTION—Glancy Prongay & Murray LLP (“GPM”), a national investors rights law firm, announces that a class action lawsuit has been filed on behalf of investors that acquired Intelligent Systems Corporation (“Intelligent Systems” or the “Company”) (NYSE: INS) securities between January 23, 2019 and May 29, 2019, inclusive (the “Class Period”). Intelligent Systems investors have until September 9, 2019 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, at 310-201-9150, Toll-Free at 888-773-9224, or by email to [email protected], or visit our website at www.glancylaw.com.
On May 24, 2019, Aurelius Value published a report alleging that the financial expert of the Company’s Audit Committee, Parker H. Petit (“Petit”), had engaged in improper accounting practices and that its Chief Executive Officer had engaged in many undisclosed related party transactions.
On this news, the Company’s share price fell $4.18, more than 10%, to close at $34.93 per share on May 24, 2019, thereby injuring investors.
Then, on May 30, 2019, Grizzly Research LLC published a report alleging that the Company’s employees take control of undisclosed shell companies in Asia, which then engage in undisclosed related party transactions “to either round-trip revenue back to [Intelligent Systems] or siphon money out of the company.”
On this news, the Company’s share price fell $6.82, or over 20%, to close at $26.99 per share on May 30, 2019, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Petit, the “financial expert” on Intelligent Systems’ Audit Committee engaged in accounting fraud as the CEO of MiMedx Group, Inc.; (2) that the Company’s CEO, Leland Strange, engaged in undisclosed related-party transactions with Petit and others and had an undisclosed personal relationship with the Company’s auditor; (3) that the Company had its employees set up or take control of shell companies in Asia so they could partake in undisclosed related-party transactions for the purpose of either fabricating revenue for the Company and/or siphoning money out of the Company; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
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If you purchased shares of Intelligent Systems during the Class Period you may move the Court no later than September 9, 2019 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to [email protected], or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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