Gilman Law LLP, a leading national securities law firm, is now accepting claims for lawsuits on behalf of investors in Stereotaxis, Inc. The firm is actively investigating allegations on behalf of Stereotaxis shareholders that certain of the Company’s officers and directors violated the Securities Exchange Act of 1934 by failing to disclose material information to the investing public. The firm is currently offering free legal evaluations to Stereotaxis shareholders throughout the U.S.
For over 30 years, Gilman Law has represented investors in all major aspects of securities fraud litigation, including stock manipulation, securities fraud, and shareholder rights violations. The firm is offering free legal consultations to investors who purchased the common stock of Stereotaxis, Inc. (NASDAQ: STXS) during the period between February 28, 2011 and August 9, 2011, and either lost money on the transaction or still hold the shares. However, you must contact Gilman Law LLP no later than December 9, 2011 in order to exercise your legal rights against Stereotaxis.
Stereotaxis Class Action Lawsuit Allegations
Stereotaxis, Inc. designs, manufactures, and markets a cardiology instrument control system, called Niobe, for use in a hospital’s interventional surgical suite to enhance the treatment of coronary artery disease and arrhythmias. The Company also markets the Odyssey system as a data management solution for remote viewing and recording of live interventional procedures. The Company has been named in a class action lawsuit in U.S. District Court for the Eastern District of Missouri, Eastern Division, on behalf of purchasers of the common stock of Stereotaxis, Inc. The complaint alleges that beginning on February 28, 2011, certain officers and directors at Stereotaxis, including Chief Executive Officer Michael Kaminski, issued a series of positive statements to investors about the business condition and future prospects of the Company that were materially false and misleading, and that caused shares of the Company’s stock to trade at artificially high prices. According to the lawsuit, the Defendants failed to disclose that:
- Stereotaxis was unable to leverage its extensive portfolio and scale of products and services in a strategically beneficial manner.
- Market feedback from users of the Company’s technology was “mixed.”
- The Niobe system was far from the “standard of care” and needed “fundamental product improvements.”
- Demand for the Niobe and Odyssey systems was weak, and that the number of units being sold was decreasing.
- The reported backlog of orders did not fairly represent future revenue the Company expected to recognize.
- The Company overstated its market edge.
On August 8, 2011, Stereotaxis’ release of financial results for the second quarter of 2011 revealed that the Company was performing well below expectations. The announcement also disclosed that the Company was forced to suspend its full year guidance for 2011, and that Daniel Johnston was resigning as the Chief Financial Officer. This news caused Stereotaxis shares to decline by more than 58% of their value, closing on August 9, 2011 at just $1.19 per share.
Legal Help for Stereotaxis Shareholders
Gilman Law LLP has extensive experience representing both individual and institutional investors in securities class action suits, and has recovered over a billion dollars for its clients. We are ready to assist investors nationwide who have sustained losses as a result of the misleading statements made by Stereotaxis officers and directors. For a free evaluation of your case or to obtain additional information, please fill out the form on the left or CALL TOLL FREE (888) 252-0048.
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