SAN DIEGO, Sept. 19, 2017 /PRNewswire/ -- Shareholder Rights Law Firm Johnson Fistel, LLP is investigating potential violations of the federal securities laws by Ubiquiti Networks, Inc. (NASDAQ: UBNT) ("Ubiquiti") and certain of its officers. Ubiquiti develops networking technology for service providers, enterprises, and consumers worldwide.
On September 18, 2017, before the opening of trading, Andrew Left, managing editor of Citron Research ("Citron") published a report entitled "Citron Exposes Ubiquity Networks," wherein Left detailed a series of alarming "red flags" suggesting that the Company was a "total fraud." Specifically, Citron represents that Ubiquiti has: overstated the number of its actual registered users; concealed that much of Ubiquiti's distributor network is comprised of overseas entities and individuals, and doing business in sanctioned countries and jurisdictions notorious for money laundering; overstated the profits derived from the Company's U.S. operations, and thus its U.S. operations profit margins; has had extremely unusually high executive turnover, including having no Chief Financial Officer ("CFO") (other than a purported Lithuanian CFO whose LinkedIn "profile does not even have her real name"); and revealed that "Yu-Cheng (Believe) Lin," who had been "charged with insider trading of Ubiquiti stock" by the SEC and had a default judgment entered against him on or about June 19, 2017, and is "now a fugitive as Taiwan [which] does not have an extradition treaty with the US," actually "ran Ubiquiti's Taiwan operations and had signing power for the company in Taiwan." Following this news, shares of Ubiquiti fell over 7% on September 18, 2017.
If you have information that could assist in this investigation, including past employees and others, or if you are an Ubiquiti shareholder and are interested in learning more about the investigation or your legal rights and remedies, please contact Jim Baker firstname.lastname@example.org) at 619-814-4471. If emailing, please include a phone number.
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