Class Action Filed Against Uroplasty

(RTTNews) - Glancy Binkow & Goldberg LLP, representing investors medical devices company Uroplasty, Inc. (UPI), has filed a class action lawsuit in the United States District Court for the District of Minnesota on behalf of a class comprising all purchasers of the company's securities between July 26, 2012 and June 13, 2013.

Uroplasty is engaged in the development, manufacture and marketing of products for the treatment of voiding dysfunctions, including treatment of overactive bladder. The complaint alleges that throughout the class period defendants issued false or misleading statements and failed to disclose material adverse facts about the company's business, operations and prospects.

Specifically, defendants misrepresented or failed to disclose that the company lacked adequate internal and financial controls and that as a result, its statements were materially false and misleading at all relevant times.

On June 14, the company announced that it was delaying the filing of its annual report on Form 10-K for the year ended March 31, until the completion of a review of its internal control over financial reporting.

Uroplasty said that in connection with a review of employee expense reimbursements conducted at the direction of the Audit Committee of its board of directors, it uncovered "issues related to the internal controls surrounding the employee expense reimbursement approval process," in addition to "issues in internal control related to the recognition of orders and the payment of sales commissions at the end of fiscal quarters."

As a result of this news, shares of Uroplasty declined 10.48 percent to close at $2.22 per share on June 14, on heavy trading volume.