NEW YORK, Aug. 10, 2017 (GLOBE NEWSWIRE) -- Wolf Haldenstein Adler Freeman & Herz LLP announces that a federal securities class action lawsuit on behalf of purchasers of the securities of GlobalSCAPE, Inc. (NYSEMKT:GSB) (“Global”) from January 26, 2017 through August 7, 2017, inclusive (the “Class Period”), has been filed in the United States District Court for the Western District of Texas.
Investors who have incurred losses in GlobalSCAPE, Inc. are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774. You may obtain additional information concerning the action on our website, www.whafh.com .
If you have purchased shares of GlobalSCAPE, Inc and would like to assist with the litigation process as a lead plaintiff, you may, no later than October 10, 2017 , request that the Court appoint you lead plaintiff of the proposed class.
According to the filed complaint, defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that:
- GlobalSCAPE overstated the reported amounts of accounts receivable as of December 31, 2016, and license revenue for the three months and year ended December 31, 2016, by approximately $403,000 and $396,000, respectively, resulting in the overstatement of the Company’s revenues for those periods by the same amounts;
- GlobalSCAPE’s total current assets and total assets were overstated by $292,000;
- GlobalSCAPE’s total stockholder equity and total liabilities and stockholders’ equity were overstated by $217,000 and $292,000, respectively;
- GlobalSCAPE lacked adequate internal controls over financial reporting; and
- that as a result, GlobalSCAPE’s publicly disseminated financial statements were materially false and misleading.
On August 7, 2017, after trading had closed, Global disclosed that its audit committee has been "conducting an investigation ”into certain transactions in the fourth quarter of 2016" and that the Company "intends to effect a restatement of its previously issued financial statements through filing an amended Annual Report on Form 10-K for the year ended December 31, 2016 and an amended Quarterly Report on Form 10-Q for the quarter ended March 31, 2017."
On this news, Global's share price fell 17.66% to close at $3.87 on August 8, 2017, causing millions in losses to investors.
Wolf Haldenstein has extensive experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas; and offices in New York, Chicago and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly recognized by the courts, which have appointed it to major positions in complex securities multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735, via e-mail at classmember@whafh.com , or visit our website at www.whafh.com .
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Contact: Wolf Haldenstein Adler Freeman & Herz LLP Kevin Cooper, Esq. Gregory Stone, Director of Case and Financial Analysis Email: gstone@whafh.com, kcooper@whafh.com or classmember@whafh.com Tel: (800) 575-0735 or (212) 545-4774
