SAN FRANCISCO–(BUSINESS WIRE)–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 firm’s investigation of possible securities law violations.
If you purchased or otherwise acquired CannTrust securities on or before July 5, 2019 and suffered losses or have information that may assist the firm’s investigation contact Hagens Berman:
or contact Reed Kathrein, who is leading the firm’s investigation, by calling 510-725-3000 or emailing
On July 8, 2019, the Company revealed that thousands of kilograms of its cannabis have been placed on hold after Canadian regulators found the Company grew cannabis in unlicensed rooms and gave those regulators “inaccurate information.” CannTrust disclosed the Canadian regulators’ action will result in “temporary product shortages” to medical customers and that regulators’ testing of the Company’s product remain ongoing with the potential for findings of additional regulatory violations. In a prepared statement to investors, CannTrust CEO Peter Aceto admitted, “We made errors in judgment”.
On this news, the Company’s share price plummeted 22% on July 8, 2019, thereby injuring CannTrust shareholders.
“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.
Whistleblowers: Persons with non-public information regarding CannTrust should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email CTST@hbsslaw.com.
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