The Shuman Law Firm Announces the Filing of a Class Action Lawsuit Against Kid Brands, Inc.
30 März 2011 - 2:45AM
Business Wire
The Shuman Law Firm today announced that a class action lawsuit
has been filed in the United States District Court for the District
of New Jersey on behalf of a class (the “Class”) of investors who
purchased Kid Brands, Inc. (“Kid Brands” or the “Company”)
(NYSE:KID) securities between March 26, 2010 through March 15,
2011, inclusive (the “Class Period”).
If you wish to discuss this action or have any questions
concerning this notice or your rights and interests with respect to
this matter, please contact Kip B. Shuman or Rusty E. Glenn toll
free at (866) 974-8626 or email Mr. Shuman at kip@shumanlawfirm.com
or Mr. Glenn at rusty@shumanlawfirm.com.
On March 15, 2011, Kid Brands announced it would delay the
filing of its Annual Report for the year ended December 31, 2010
due to information uncovered during an investigation into practices
at its LaJobi subsidiary. The investigation found instances where
incorrect import duties were applied to furniture imported from
vendors in China, resulting in violations of anti-dumping
regulations. As a result of the continuing investigation, LaJobi’s
President, Larry Bivona, was terminated. Following this
announcement, shares of Kid Brands dropped from a close of $9.24
per share on March 14, 2011 to close at $6.91 per share on March
15, 2011.
The Complaint alleges that, throughout the Class Period,
Defendants made false and/or misleading statements, as well as
failed to disclose material adverse facts about the Company's
business, operations and management with respect to the above
issues. Specifically, Defendants allegedly failed to disclose: (1)
that the Company was improperly applying import duties; (2) that
the Company lacked adequate internal and financial controls; and
(3) that, as a result of the foregoing, the Company's financial
results were materially false and misleading during the Class
Period.
If you purchased Kid Brands common stock during the Class
Period, you may request that the Court appoint you as lead
plaintiff of the class no later than May 23, 2011. A lead plaintiff
is a class member that acts on behalf of other class members in
directing the litigation. Although your ability to share in any
recovery is not affected by the decision whether or not to seek
appointment as a lead plaintiff, lead plaintiffs make important
decisions which could affect the overall recovery for class
members.
The Shuman Law Firm represents investors throughout the nation,
concentrating its practice in securities class actions and
shareholder derivative actions.
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