Coral Gables, Florida (PRWEB) October 31, 2011
The Securities Law Firm of Tramont Guerra & Nunez, P.A. (TGN) provides notice to all investors concerning the Omnivision Technologies class action lawsuit (Case No. 11-CV-05235) filed October 26, 2011 in the United States District Court of the Northern District of California for the class period from August 27, 2010 to October 13, 2011. According to the class action lawsuit, “During the class period, Defendants issued materially false and misleading statements regarding the Company’s business and financial results.” The class action lawsuit points to the alleged wrongdoing, “Specifically, Defendants failed to disclose that the Company had lost its exclusive contract to supply imaging sensors for Apple’s celebrated iPhone – representing a serious blow to the Company’s bottom line.” The lawsuit asserts, “As a result of Defendants false statements, OmniVision’s stock traded at artificially inflated prices during the Class period, reaching a closing high of $36.42 per share on May 26, 2011.” TGN urges investors who acquired Omnivision Technologies stock through employment, inheritance or as a personal investment, which resulted in a concentrated stock position held with full-service brokerage firms, to consider what recourse is available to recover their investment losses. The Financial Industry Regulatory Authority, (FINRA) is a self regulating organization with sales practice rules and regulations that govern the securities industry’s conduct and safeguard the investing public. Furthermore, an individual securities arbitration claim may allow investors to claim larger losses in Omnivision Technologies stock based on higher market values that prevailed prior to the class period.
According to TGN, many investors in Omnivision Technologies who held company stock with full-service brokerage firms were not educated about the risks associated with maintaining a concentrated stock position. Full-service brokerage firms are obligated to give, and investors are entitled to rely upon, brokerage firms for competent, suitable investment advice for securities held in customer accounts. Brokerage firms are required to supervise the activities in brokerage accounts, losses may be attributed to the failure to adequately supervise the stockbroker and the brokerage account. Recommendations which result in unsuitable investment advice and/or failure to recommend appropriate risk management strategies for unprotected concentrated stock positions are both causes of action that may be available to investors against their full-service brokerage firm in an individual securities arbitration claim filed with FINRA.
The Securities Law Firm of Tramont Guerra & Nunez, PA, is a nationally recognized, Martindale Hubbell “AV” rated securities law firm. To request a confidential consultation from a TGN attorney to determine whether you have a viable individual securities arbitration claim for investment losses that exceed $250,000 from a full service brokerage account, contact us on our website. To speak directly with an attorney, call (800) 578-0137 and ask for David Chacin, Esquire.