World News: 01:03 GMT Friday 12th July 2019. [Hagens Berman Sobol Shapiro LLP via Globe Newswire via SPi World News]
SAN FRANCISCO, July 11, 2019 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, with nine offices in eight cities around the country and eighty attorneys, alerts investors in Canadian cannabis producer CannTrust Holdings Inc. (NYSE: CTST) to the securities class action, No. 1:19-cv-06396, filed in the U.S. District Court for the Eastern District of New York.
If you CTST securities and suffered losses you do not need to sign up to be included in the putative class of investors.
or contact Reed Kathrein, who is leading the firm’s investigation, by calling or emailing
According to the complaint, Defendants misrepresented and concealed that the Company was growing cannabis in its Pelham, Ontario greenhouse facility in five unlicensed rooms between October and March 2018, and that the Company was providing inaccurate information to Canadian regulator Health Canada.
On July 8, 2019, the market began to learn the truth when the Company disclosed that Health Canada found that its Pelham greenhouse facility to be non-compliant with certain regulations. As a result, Health Canada placed a hold on 5,200 kilograms of dried cannabis harvested from the unlicensed rooms, along with an additional 7,500 kilograms voluntarily held by the Company, until the facility becomes compliant.
On this news, the Company’s share price fell $1.11, or more than 22%, to close at $3.83 per share on July 8, 2019, on unusually heavy trading volume.
“We’re focused on investors’ losses and whether the Company misrepresented and concealed its compliance with applicable laws and regulations,” said Hagens Berman partner Reed Kathrein.
Globe Newswire: 01:03 GMT Friday 12th July 2019
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