The Shareholders Foundation announces that an investor, who currently holds shares of Medbox Inc (OTCMKTS:MDBX), filed a lawsuit against certain directors of Medbox Inc.
Investors who purchased shares of Medbox Inc (OTCMKTS:MDBX) prior to November 20, 2013 and currently hold any of those MDBX shares have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges that certain directors of Medbox Inc hurt investors in Medbox Inc by “systematically and repeatedly” lying about the company’s financial condition.
In January 2015 a lawsuit was filed against Medbox Inc over alleged securities laws violations. The plaintiff in that lawsuit alleges that between November 20, 2013 and December 29, 2014 Medbox allegedly overstated Medbox’s revenues by recognizing revenue on customer contracts before it had been earned and that as a result Medbox’s stock traded at allegedly artificially inflated prices between November 20, 2013 and December 29, 2014, reaching an intra-day high of $93.50 on January 8, 2014. The plaintiff further alleges that while Defendants kept the full extent of their fraud concealed between November 20, 2013 and December 29, 2014, while the market learned bits of the truth through several partial disclosures.
On February 18, 2014, a report was published stating that Medbox Inc “has systematically and repeatedly committed FRAUD on their financial statements, and the public statements they make about their financials are laced with lies.”
On December 30, 2014, Medbox Inc (OTCMKTS:MDBX) announced it will amend and restate its financial statements for the year ended December 31, 2013, the third and fourth quarters of 2013 and the first three quarters of 2014.
Shares of Medbox Inc (OTCMKTS:MDBX) declined from $40.25 per share in early 2014 to as low as $0.30 per share on June 16, 2015.
Those who purchased shares of Medbox Inc (OTCMKTS:MDBX) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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