Securities fraud class action litigation has been filed on behalf of investors in the publicly traded American Depositary Receipts (“ADRs”) of Kobe Steel, Ltd. (“Kobe Steel” or the “Company”) (OTC BB: KBSTY). If you purchased or otherwise acquired ADRs of Kobe Steel between May 29, 2013 and October 12, 2017, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than February 26, 2018.
You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action. Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market. We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.
Kobe Steel investors may choose to have Lieff Cabraser review their claim by completing the contact form below. You can also call Sharon M. Lee of Lieff Cabraser at 1-800-541-7358 to discuss the litigation.
Background on the Kobe Steel Securities Class Litigation
Kobe Steel is one of Japan’s largest steel manufacturers and a leading supplier of aluminum and copper products.
The action alleges that during the Class Period, Kobe Steel misrepresented the quality of its products and the integrity of its operations, product safety, and compliance issues. Defendants’ statements were materially false or misleading because the Company had intentionally falsified data on many of its aluminum, copper, iron, and steel products, and knowingly sold products that failed quality control tests.
On Sunday, October 8, 2017, Kobe Steel disclosed that certain of its products “did not comply with the product specifications” and that certain inspection certificates regarding product data “had been improperly rewritten etc., and the products were shipped as having met the specifications concerned.” On that news, the price of Kobe Steel ADRs fell $0.62 per ADR, or 10.47% from the previous closing price of $5.92 on October 6, 2017, to close at $5.30 per ADR on October 9, 2017.
On October 10, 2017, Reuters reported that several major manufacturers had confirmed that they had used the Kobe Steel products at issue. On that news, the price of Kobe Steel ADRs dropped another $1.30 per ADR, or 24.53% from the previous closing price, to close at $4.00 per ADR on October 10, 2017.
On October 13, 2017, Kobe Steel provided updated information concerning an investigation into the falsified data and disclosed a list of 9 products the Company had identified that may not have met product specifications. On the same day, The New York Times reported that the Company had shipped “substandard or potentially substandard materials to 500 customers, up from an initial estimate of 200.” On that news, the price of Kobe Steel ADRs fell $0.40 per ADR, or over 10.13% from the previous closing price of $3.95 on October 12, 2017, to close at $3.55 per ADR on October 13, 2017, intensifying the harm to investors.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, Nashville, and Seattle, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.
The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”