Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Cemex, S.A.B. de C.V (NYSE:CX) in connection to alleged violations of securities laws by CX. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Cemex from August 14, 2014 until March 13, 2018.
The class action complaint specifically alleges that during the period in question, CX might have provided false and/or misleading material information, and/or failed to disclose adverse material information, namely: that the company’s executives had participated in an illegal bribery scheme associated with the company’s activities in Colombia; that were this conduct to be uncovered, the company would likely face increased regulatory scrutiny as well as the possibility of criminal action; that the company did not have proper internal controls governing its financial reporting; and that consequently the company’s statements to the public during the relevant period were false and misleading. When the company announced post-market on September 23, 2016, that it had dismissed two senior executives following the discovery by an internal probe that roughly $20 million in payments connected to a land deal in Colombia had violated company policies, Cemex’s ADR price fell 2.28%, or $0.17, closing at $7.26 on September 26, 2016. The company announced on December 9, 2016 that it had received a subpoena from the Securities and Exchange Commission requesting information about payments made in Colombia. It later announced, on March 14, 2018, that it was under investigation by the US Department of Justice in connection to payments made in connection to a cement plant construction project in Colombia, specifically into whether those payments violated federal bribery laws. Upon this news, the company’s ADR price declined 1.64%, falling $0.12 to a close of $7.21 on March 14, 2018. The class action complaint alleges that when true details came to light, investors suffered losses.
According to the company’s website, Cemex is a global construction materials company headquartered in Mexico. According to its website, it is “focused on creating sustainable value by providing industry-leading products and solutions to satisfy the construction needs of our customers around the world.” The company trades on the New York Stock Exchange under the symbol CX.
A class action lawsuit has already been filed in connection with Cemex. If you wish to serve as lead plaintiff in the CX lawsuit, you must move the Court no later than May 15, 2018. If you wish to join the litigation, please contact Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.