Cemtrex, Inc. Explains the Continued Press Releases by Securities Class Action Plaintiffs’ Law Firms
March 16, 2017
Cemtrex, Inc. (NasdaqCM: CETX, CETXP, CETXW), a global diversified industrial and manufacturing company, today explained why securities class action plaintiffs’ law firms continue to publish press releases concerning the alleged securities class action complaints filed on February 24, 2017 against the Company in the United States District Court for the Eastern District of New York. The Company feels that this explanation is necessary to clear up the confusion that has been created by these press releases for the current shareholders and potential investors.
The Private Securities Litigation Reform Act of 1995 (Reform Act) states: “Not later than 60 days after the date on which the notice is published, any member of the purported class may move the court to serve as lead plaintiff of the purported class.” The original alleged securities class action complaints were filed on February 24, 2017. Therefore, any member of the purported class may move the court to serve as lead plaintiff by April 25, 2017.
Leading up to this April 25 deadline, securities class action plaintiffs’ law firms are continuing to publish press releases in connection with this lead plaintiff process. These are not announcing any new securities class action complaints. To date, there remain only three actual securities class action complaints filed against the Company in court. As the Company announced on March 2, 2017, the Company understands that these three alleged class actions, as well as any further alleged class actions, will be consolidated into a single lawsuit, under the requirements of the Reform Act.
The Company believes the alleged securities class action litigation is based upon the false allegations contained in an internet blog posted by a short seller and is meritless and the Company intends to defend itself vigorously.
Cemtrex, Inc. (CETX) is a global, diversified industrial and manufacturing company that provides a wide array of solutions to meet today’s technology challenges and is rapidly growing through acquisitions. Cemtrex provides manufacturing services of advanced custom engineered electronics, industrial contracting services, monitoring instruments for industrial processes and environmental compliance, and equipment for controlling particulates, hazardous pollutants and Greenhouse gases used in carbon trading globally. For more information, please visit www.cemtrex.com.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include all statements other than statements of historical fact. These forward-looking statements are inherently difficult to predict. Actual results, including all matters relating to the engagement of counsel and potential legal proceedings involving the above investigation, could differ materially for a variety of reasons. Our filings with the SEC identify important factors that could cause our actual results to differ materially from those contained in our forward-looking statements.