Law Firms Now Piling on to SEC Investigation into B&N
Upset that they had not reached their quota for billable hours for 2013, four different law firms (so far) have issued press releases and announced plans to investigate Barnes & Noble. All 4 firms are piling on to the investigation which the SEC is conducting into possible financial irregularities.
That SEC investigation was revealed last week, but has yet to actually uncover any wrongdoing. But now that the SEC is going to be assisted by these 4 firms I am sure that any wrongdoing will be uncovered (assuming B&N actually did anything wrong, which I still doubt).
At this point I have no information beyond what B&N shared in the 10-Q report they filed last week:
On October 16, 2013, the SEC’s New York Regional office notified the Company that it had commenced an investigation into: (1) the Company’s restatement of earnings announced on July 29, 2013, and (2) a separate matter related to a former non-executive employee’s allegation that the Company improperly allocated certain Information Technology expenses between its NOOK and Retail segments for purposes of segment reporting. The Company is cooperating with the SEC, including responding to requests for documents.
Nevertheless, the law firms of Bronstein, Gewirtz, & Grossman, LLC; Levi & Korsinsky; Johnson & Weaver, LLP; and Pomerantz, Grossman, Hufford, Dahlstrom, & Gross are all investigating claims on behalf of investors of Barnes & Noble, Inc. They are seeking B&N shareholders who might be interested in signing on with the investigations and share in the settlement
shakedown should any wrongdoing be uncovered.
Should the law firms join forces I understand that their efforts will be lead by Dewey, Cheatem, and Howe.