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BENSALEM, Pa., July 19, 2019 (GLOBE NEWSWIRE) -- Law Offices of Howard G. Smith reminds investors of the upcoming July 22, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased RCI Hospitality Holdings, Inc. (“RCI Hospitality” or the “Company”) (NASDAQ: RICK) securities between August 10, 2017 and May 10, 2019, inclusive (the “Class Period”).
Investors suffering losses on their RCI Hospitality investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to firstname.lastname@example.org.
On December 11, 2018, RCI Hospitality stated that it could not timely file its annual report with the SEC due to “delays in completing the audit of its financial statements for the year ended September 30, 2018.”
On this news, the Company’s share price fell $1.37, or approximately 6%, to close at $22.33 per share on December 12, 2018, thereby injuring investors.
Then, on May 10, 2019, RCI Hospitality stated that it could not timely file its quarterly report with the SEC for the period ended March 31, 2019 due to pending investigations concerning negative articles published in mid- and late 2018 about the company.
On this news, the Company’s share price fell $1.67, or over 7%, to close at $20.48 per share on May 13, 2019, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that the Company engaged in numerous transactions with the CEO, including lending him significant sums of money; (2) that these practices were reasonably likely to lead to regulatory scrutiny of the Company; (3) that, as a result of investigations into the Company’s governance, the Company would be unable to timely file its financial statements; and (4) that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis.
If you purchased shares of RCI Hospitality during the Class Period you may move the Court no later than July 22, 2019 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
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