Boston, MA 09/22/2014 (wallstreetpr) – A press release was issued by the Block & Leviton LLP for Education Management Corp (NASDAQ:EDMC) concerning the investigation on the common stocks of the company. According to Yahoo! Finance, the company on that very day informed that it would be unable to file a Form 10-K for the fiscal year ended on June 30, 2014.
Company declining to file Form 10-K for fiscal year:
Education Management Corp (NASDAQ:EDMC), on September 17, declined to file its Form 10-K for the fiscal year because of issues hoisted up by the SEC (United States Security and Exchange Commission). On September 17, 2014, a press release mistakenly recommended that the company might have been put on notice by analogous issues concerning the revenue realization for student withdrawals that weighed down Higher One Holdings, Inc (NYSE:ONE). In fact, the latter also encountered inspection by the government. It needs to be highlighted here that any interpretation of the declaration that Higher One Holdings has faced revenue recognition matter, or has come across any inspection by the government regarding the revenue recognition issues would be false.
Lawsuit against Education Management:
The U.S. based company that is engaged in offering post-secondary education in North America on September 19, 2014 faced a class action lawsuit filed by Pomerantz LLP, reported Yahoo! Finance. A lawsuit has been filed against the Education Management Corp (NASDAQ:EDMC) and on some its officers. A class action has been lodged in the U.S. District Court, in the Western district of Pennsylvania. It was filed on behalf of each and every person or entity that purchased the securities of Education Management in the time frame between August 8, 2012 and September 16, 2014. The class action looks forward to recovering the damages for infringement of federal securities laws under Security Exchange Act 1934.
