New Federal Securities Cases
A class action lawsuit has been filed in the United States District Court for the Northern District of Illinois against Caterpillar, Inc. ("Caterpillar" or the "Company") (NYSE:CAT) and certain of its officers, on behalf of all investors who purchased or otherwise acquired Caterpillar securities during the period from February 19, 2013 through March 1, 2017 (the "Class Period"). The lawsuit seeks to recover compensable damages caused by defendants' violations of the Securities Exchange Act of 1934.
Caterpillar designs, manufactures, and markets construction, mining, and forestry machinery. The Company also manufactures engines and other related parts for its equipment, and offers financing and insurance. Caterpillar distributes its products through a worldwide organization of dealers.
The lawsuit alleges that throughout the Class Period, Defendants failed to disclose that Caterpillar unlawfully used foreign subsidiaries to avoid paying billions of dollars in U.S. taxes.
On March 2, 2017, law enforcement officials executing search warrants raided the Company's facilities in Peoria, Illinois. Later that day, the Company issued a statement discussing the federal law enforcement raids to its facilities, stating: "We believe the execution of this search warrant is regarding, among other things, export filings that relate to the CSARL matter," referring to its Swiss subsidiary Caterpillar SARL. Bloomberg News subsequently reported that the warrants "sought evidence related to potential crimes, including 'failure to file or submitting false electronic export information' and 'false and misleading financial reports and statements.'" On this news, Caterpillar's share price fell from $98.58 to $94.36 per share, damaging investors.
If you acquired Caterpillar securities during the Class Period, you may, no later than May 2, 2017, request that the court appoint you lead plaintiff of the proposed class. 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 that could affect the overall recovery for class members, including decisions concerning settlement.
If you are a current or former Caterpillar shareholder and wish to obtain additional information, please fill out the contact form at the link below.
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