Shareholder rights law firm Robbins
Arroyo LLP announces that purchasers of TAL Education Group (NYSE:
TAL) have filed a class action complaint against the company’s officers
and directors for alleged violations of the Securities Exchange Act of
1934 between April 26, 2018 and June 13, 2018. TAL, through its
subsidiaries, provides K-12 after-school tutoring services in the
People’s Republic of China.
View this information on the law firm’s Shareholder Rights Blog: www.robbinsarroyo.com/tal-education-group
TAL Accused of Overstating Its Net Income
According to the complaint, TAL announced its fourth quarter 2018 and
fiscal year (“FY”) 2018 financial results on April 26, 2018, but failed
to inform investors that TAL’s net income was deteriorating. On June 13,
2018, Carson Block, founder of Muddy Waters Research, accused the
company of issuing fraudulent profit figures by overstating net income,
net income margin, and other essential accounting figures. Block said
that TAL resorted to fraud to cover up the company’s deteriorating
profit margins, noting that TAL’s pre-tax profits from FY 2016 through
FY 2018 were inflated by up to $153.2 million, or 28.4%. On this news,
TAL’s stock fell nearly 10% to close at $41.11 per share on June 13,
TAL Shareholders Have Legal Options
Concerned shareholders who would like more information about their
rights and potential remedies can contact attorney Leonid Kandinov at
(800) 350-6003, LKandinov@robbinsarroyo.com,
or via the shareholder
information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder
rights law. The firm represents individual and institutional investors
in shareholder derivative and securities class action lawsuits, and has
helped its clients realize more than $1 billion of value for themselves
and the companies in which they have invested.
Attorney Advertising. Past results do not guarantee a similar outcome.
View source version on businesswire.com: https://www.businesswire.com/news/home/20180622005615/en/