SAN FRANCISCO, CA / ACCESSWIRE / August 30, 2019 / Hagens Berman updates investors in CannTrust Holdings Inc. (NYSE:CTST) concerning the Company’s financial exposure to Health Canada decisions and reminds investors that 10 days remain until the September 9, 2019 Lead Plaintiff deadline in the pending federal securities fraud lawsuit.
Over the past several w/ eeks, CEO Peter Aceto was fired, President & Chairman Eric Paul was forced to resign, the outside auditor withdrew certain of its audit reports, Health Canada deemed the Vaughan, Ontario facility non-compliant, Ontario Cannabis Store returned large quantities of CannTrust cannabis as non-compliant.
And, recently, CannTrust quantified the inventory and biological assets impacted by the pending Health Canada decisions as $51 million, representing over 50% of the Company’s total inventory and 30% of the Company’s total biological assets.
If you invested in CannTrust between November 14, 2018 and July 12, 2019 and suffered losses of $100,000+, you may qualify to be a lead plaintiff - one who selects and oversees the attorneys prosecuting the case.
If you wish to serve as a lead plaintiff in this class action, you must move the Court no later than September 9, 2019 (the “Lead Plaintiff deadline”). Contact Hagens Berman immediately for more information about the case and being a lead plaintiff:
https://www.hbsslaw.com/hagens-berman-fraud-center/canntrust
or contact Reed Kathrein, who is leading the firm’s investigation, by calling 510-725-3000 or emailing
According to the complaint, Defendants concealed that (1) CannTrust was growing cannabis in its Pelham greenhouse while applications for regulatory approval were still pending, (2) the greenhouse did not comply with certain regulations, and (3) it was reasonably likely that Health Canada would place an inventory hold until the Pelham facility becomes compliant with applicable regulations.
“We’re focused on investors’ losses and whether Defendants misrepresented and concealed CannTrust’s compliance with applicable laws and regulations,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding CannTrust should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email [email protected].
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CONTACT:
Reed Kathrein, 510-725-3000
SOURCE:Hagens Berman Sobol Shapiro LLP