Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm,
today reminded investors of the Oct. 15, 2013, deadline to move to be a
lead plaintiff in a securities class-action lawsuit against ECOtality,
Inc., (NASDAQ: ECTY) and of the continuing investigation into whether
ECOtality withheld critical information from investors. Investors are
invited to inquire about their options with Hagens Berman attorneys by
Investors who purchased ECTY common stock between April 16, 2013, and
Aug. 9, 2013, (the "Class Period") and suffered significant financial
losses may also contact Hagens Berman Partner Reed Kathrein, who is
leading the firm's investigation, by calling (510) 725-3000. More
information is available online at http://hb-securities.com/investigations/ECTY.
On June 19, 2013, ECOtality closed an $8.2 million private placement of
over 5 million shares of common stock priced at $1.60 and warrants
exercisable at $2.04 per share.
Two months later, on Aug. 12, 2013, the company announced several
previously undisclosed production and financial problems. ECOtality also
revealed it had hired a restructuring adviser to evaluate the company's
options, including a possible bankruptcy filing that could be made "in
the very near future."
Following the announcement the company's stock price dropped more than
The lawsuit alleges that ECOtality concealed major issues, including:
defects and performance shortfalls in some of its charging systems, the
inability to release products as scheduled and a lack of sufficient
commercial sales and investor funding to sustain the company's
"Our investigation seeks to discover what ECOtality knew and when," said
Hagens Berman Partner Reed Kathrein. "Considering the litany of issues
ECOtality has been facing, it is suspect that only in August were
investors made aware of something as catastrophic as a possible
Persons with non-public information may want to consider their options
to help in the investigation or take advantage of the SEC Whistleblower
program. Under the new SEC whistleblower program, whistleblowers who
provide original information may receive rewards totaling up to 30
percent of any successful recovery made by the SEC.
Hagens Berman Sobol Shapiro, LLP is an
investor-rights class-action law firm with offices in nine cities
including the San Francisco Bay Area where this lawsuit has been filed.
The Firm represents investors, whistleblowers, workers and consumers in
complex litigation. More about the law firm and its successes can be
found at www.hbsslaw.com.
The Firm's Securities Newsletter is at http://www.hb-securities.com/newsletter.
Firmani + Associates
Mark Firmani, 206-443 9357