Statman, Harris & Eyrich, LLC Announces Lawsuit Filed Against Nevsun Resources Ltd.

Cincinnati, OH (PRWEB) April 15, 2012

The law firm of Statman, Harris & Eyrich, LLC announces that a securities class action lawsuit has been filed against Nevsun Resources Ltd. (Nevsun or the Company). The complaint, filed by another firm and pending in the United States District Court for the Southern District of New York (Case No. 12-cv-1845), alleges violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.

The action, filed on behalf of shareholders of common shares of the Company during the period March 31, 2011 through February 6, 2012 (the Class Period), alleges defendants made false and misleading statements or failed to disclose that: (i) Nevsuns mining at the Bisha Mine resulted in a material amount of waste rock rather than gold ore; (ii) gold ore and gold from the Bisha Mine was materially less than the amount estimated by Nevsuns model, and defendants knew or had reason to know this based on data routinely collected from the Bisha Mine throughout the Class Period; (iii) Nevsun was progressing through the ore body much more quickly than planned in order to maintain gold production at a rate that would not reveal to investors that the amount of gold at the Bisha Mine was materially less than the Companys model; (iv) the Company was aware that its model was materially defective because the actual amounts of gold mines at Bisha did not reconcile with the Companys model previously disseminated to the investing public; and (v) Nevsun materially overstated its gold reserves at the Bisha Mine.

On February 7, 2012, Nevsun issued a press release disclosing: (i) that it had materially overstated gold reserves at the Bisha Mine by 30-35%; (ii) that the amount of gold to be produced in 2012 would be about half of what Nevsun previously represented to investors; and (iii) that it would restate its proven reserves. Following this news, Nevsuns common shares fell from a closing price of $ 6.34 per share on February 6, 2012 to close at $ 4.40 per share on February 7, 20.12.

Investors who held shares of Nevsun Resources Ltd. common stock during the Class Period who wish to discuss this action are encouraged to contact attorney Brian Giles at (513) 345-8181 or by e-mail to classaction(at)statmanharris(dot)com for further information about this matter without any obligation or cost to you. If you wish to serve as lead plaintiff, you must move the Court no later than May 14, 2012 to request that the Court appoint you as lead plaintiff. You do not need to take any action at this time to be a class member, and you may retain counsel of your choice.

Statman, Harris & Eyrich, LLC, which has significant experience in consumer and securities fraud class actions and derivative litigation, has offices in Chicago, Illinois; Cincinnati, Ohio; Dayton, Ohio; and Sarasota, Florida. Attorney advertising. Prior results do not guarantee similar outcomes.


Tags: , , , , , , , , ,

Comments are closed.

CIGI Experts Outline Prescriptions for Cannes Summit and Beyond in Special Report on G20 Issues

Waterloo, Ont. (PRWEB) October 20, 2011 With a possible euro zone collapse and Greek insolvency likely to dominate the upcoming [...]

Pathways Home Health and Hospice Satu Johal Receives CFO of Year of the Year Award; Silicon Valley Business Journal Honoree

Sunnyvale, California (PRWEB) December 02, 2011 Satu Johal, CFO at Pathways Home Health & Hospice, received the Silicon Valley Business [...]

Latest Financial Regulation News

Working Together Towards Better Financial Regulation and Stability in Asia Image by Asian Development Bank Tellers attend to clients in [...]

European financial regulation – 4 questions to Olivier Garnier (Societe Generale)

Olivier Garnier, Chief economist at Societe Generale Group, expresses his view on European financial regulation and its reform. Video interview [...]

AMS Health Care Mortgage Corporation Provides Debt Service Savings to Hospitals Utilizing FHA 242 Mortgage Insurance Program

Jacksonville, FL (PRWEB) August 30, 2013 An oft-overlook and relatively unknown federal program for hospitals seeking capital for needed and [...]

Vermont’s Captive Insurance Industry Off to Best Start Since 2005

Montpelier, VT (PRWEB) April 16, 2012 First quarter licensure of new captive insurance companies is off to a strong start [...]