SAN FRANCISCO, July 28, 2016 /PRNewswire/ -- Shareholder
and consumer rights law firm Schubert Jonckheer & Kolbe LLP has
launched an investigation into whether certain officers and
directors of Albany Molecular Research Inc. (NASDAQ: AMRI) breached
their fiduciary duties to the company and its shareholders by
failing to implement adequate internal controls over the company's
management and disclosure procedures.
On July 26, 2016, Judge
Frederic Block denied a motion to
dismiss a securities fraud class action filed against the company
in the United States District Court for the Eastern District of
New York. The class action alleges
that between August 5, 2014 and
November 5, 2014, Albany Molecular
concealed from shareholders that a power outage at an acquired
laboratory had contaminated the laboratory's inventory. Although
the power outage occurred in July
2014, the truth was not revealed to investors until
November 5, 2014 when the company
announced that, due to the laboratory power failure, AMRI needed to
discard moldy inventory and temporarily shut down the facility. On
this news, company shares plummeted by $6.08 per share or 35%. On Tuesday, Judge Block
denied the Company's motion to dismiss the class action, finding
that Chief Executive Officer William
Marth and then-acting Chief Financial Officer Michael Nolan must have known about the power
outage because of the laboratory's importance to the company's core
operations and the magnitude of the alleged false statements.
The Schubert Firm's investigation concerns whether the directors
of Albany Molecular Research Inc. breached their fiduciary duties
to the company and its shareholders by failing to maintain proper
oversight and internal controls. Concerned shareholders who would
like more information about their rights and potential remedies
should contact Kathryn Schubert via
email at kschubert@schubertlawfirm or by telephone at (415)
788-4220, or fill out the form on the firm's website at
http://classactionlawyers.com/AMRI.
About Schubert Jonckheer & Kolbe
Schubert Jonckheer & Kolbe has extensive experience in
prosecuting securities claims and has successfully represented
investors throughout the nation in shareholder lawsuits. Attorney
advertising. Prior results do not guarantee similar outcomes.
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SOURCE Schubert Jonckheer & Kolbe LLP