Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Global Eagle Entertainment (NASDAQ: ENT) in connection to alleged violations of securities laws by ENT and certain of its officers. Fitapelli Kurta is interested in hearing from investors who have complaints regarding investments made in November 9, 2016 through February 20, 2017 between November 9, 2016 through February 20, 2017.
The class action complaint specifically alleges that during the period in question, ENT and certain of its officers might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, namely: that it could not account for its acquisition of EMC in a timely and adequate manner; that it did not have adequate controls governing financial reporting; and that consequently its financial reporting was false and/or misleading at all times during the relevant period.
Before the market opened on February 21, 2017, ENT announced that its Chief Executive Officer and Chief Financial Officer had resigned from their positions. The company also announced that it would not file its annual report for 2016 before the SEC’s deadline of March 16, 2017, attributing the delay to the “increased size and complexity” of the company after it acquired EMC, and citing also the company’s “need to transition the finance department after the prior CFO’s departure and its need to complete additional financial-closing procedures associated with the Company’s material weaknesses in internal control over its financial reporting.” After this announcement, ENT’s value declined 27.97%, or $1.74, closing on the 21st at $4.48/share, according to the lawsuit.
According to the company’s website, Global Eagle Entertainment “is the world’s leading inflight entertainment and connectivity provider.”
A class action lawsuit has already been filed in connection with Global Eagle Entertainment. If you wish to serve as lead plaintiff in the ENT lawsuit, you must move the Court no later than April 24, 2017. If you wish to join the litigation, please contract Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.