NEW YORK, Jan. 26, 2012 (GLOBE NEWSWIRE) — Newman Ferrara LLP (www.nfllp.com) announced today that a securities class action complaint has been filed on behalf of those purchasing American Depositary Shares (“ADS”) of Veolia Environment S.A. (“Veolia or the “Company) (NYSE:VE – News) between the dates of April 27, 2007 and August 4, 2011 inclusive (the “Class Period”).
No class has yet been certified in the above action. If you wish to serve as lead plaintiff, you must apply to be appointed no later than February 27, 2012. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement and how much of a settlement to accept for the Class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the Company during the Class Period. You are not required to have sold your shares to seek damages to serve as a lead plaintiff. If you would like to discuss this action, the lead plaintiff process, or have any questions concerning this notice, please contact plaintiff’s counsel, Jeffrey M. Norton at (212) 619-5400 or by email at [email protected]
Veolia Environment S.A. operates a utility and public transportation business. The Company provides drinking water, waste management services, oversees and manages heating and air conditioning systems, and also operates both rail and road passenger transportation systems.
The Complaint specifically alleges that: (1) the Company was falsely filing financial results through fraudulent accounting practices, (2) the Company neglected to timely record an impairment charge for its transportation business based in Morocco, Environmental Service in Egypt, Marine Services based in the U.S. and in Europe, (3) the Company’s revenues were being adversely affected by renewals of its major concession contracts, (4) the Company had little control over its internal business and financial controls, and (5) that as a result, the Company’s statements were materially fraudulent and misleading. On August 4, 2011, Veolia Environment S.A. released financial statements for the period ending June 30, 2011. The Company disclosed its operating income of EURO252.2 million. Just one year prior, the Company’s income for the same period was EURO1,100.7 million. The Company additionally released that it had discovered accounting fraud in its Marine Services business, where earnings from 2007 through 2010 were overstated by at least EURO152 million. Based on these findings, the Veolia ADS declined $ 4.66 (22%), to close at $ 16.10 per share on August 4, 2011
With a varied legal practice based in New York City, Newman Ferrara attorneys specializes in complex commercial and multi-party litigation with an emphasis on securities, ERISA, consumer fraud, products liability, civil rights litigation and real estate. Newman Ferrara serves as lead counsel in numerous class actions and has recovered substantial sums for its clients.
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