Immersion Corporation (Nasdaq: IMMR)
MURRAY, FRANK & SAILER LLP is investigating securities fraud claims against Immersion Corporation ("Immersion" or the "Company") (Nasdaq: IMMR) and certain of its officers and directors, on behalf of shareholders who purchased Immersion securities between May 3, 2007 and June 30, 2009, inclusive (the "Class Period").
It is alleged that during the Class Period, defendants issued materially false and misleading statements regarding the Company's transactions in its Medical line of business. Specifically, defendants failed to disclose that Immersion's revenue recognition practices in its Medical line of business were improper. As a result of defendants' false and misleading statements, Immersion stock traded at artificially inflated prices during the Class Period, reaching a high of $20.50 per share on July 13, 2007. Subsequently, in February 2008, Immersion announced a correction of its income tax expense for its interim 2007 results, causing the Company's stock to drop somewhat, but the stock continued to trade at artificially inflated levels due to the Company's reported profitability. Then, on July 1, 2009, before the market opened, the Company issued a press release announcing that the Audit Committee of the Company's Board was conducting an internal investigation into certain previous revenue transactions in its Medical line of business. On this news, Immersion's stock dropped over 23% from a close of $4.94 per share on June 30, 2009 to a close of $3.80 per share on July 1, 2009.
True facts, which were known by the defendants but concealed from the investing public during the Class Period, were as follows: (a) the Company's revenue recognition practices with respect to its Medical line of business did not comply with Generally Accepted Accounting Principles; and (b) the Company's reported revenue and earnings were overstated due to the Company's false accounting.
If you are a member of the class described above, you may move the Court, not later than November 2, 2009, to serve as Lead Plaintiff for the class. A Lead Plaintiff is a representative chosen by the Court who acts on behalf of other class members in directing the litigation. You do not need to be a Lead Plaintiff to be included in the class. If you purchased Immersion securities and wish to discuss this litigation, or have any questions concerning this notice or your rights or interests with respect to these matters, please contact us.
MURRAY, FRANK & SAILER LLP