Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF has commenced an investigation into SITO Mobile, Ltd. (NasdaqCM: SITO).
On January 3, 2017, the Company disclosed negative quarterly results for the quarter ending December 31, 2016 that were “negatively affected this year by restrained advertising spending during a period of heightened and elongated media focus on this year’s U.S. election.” The results contradicted positive statements made previously by the Company’s Chief Executive Officer Jerry Hug on November 14, 2016 regarding revenue growth with “a very positive outlook for the remainder of this year and throughout 2017” and that there would not be a significant drop off from the election.
Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information, violating federal securities laws. Recently, the court presiding over that case denied the Company’s motion to dismiss in part, allowing the case to move forward.
KSF’s investigation is focusing on whether SITO’s officers and/or directors breached their fiduciary duties to SITO’s shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of SITO shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (firstname.lastname@example.org), or click here.