pass Diversified LLC(CODI) GlobeNewswire News Room·2025-05-22 17:48Core Viewpoint - A class action securities lawsuit has been filed against Compass Group Diversified Holdings, LLC due to alleged securities fraud affecting investors between May 1, 2024, and May 7, 2025 [1][2]. Group 1: Lawsuit Details - The lawsuit claims that Compass Diversified failed to disclose effective internal controls over financial reporting and critical information regarding its subsidiary, Lugano Holding, Inc., which had undisclosed financing arrangements and irregularities in sales, cost of sales, inventory, and accounts receivable [2]. - The truth about Compass's financial reporting emerged on May 7, 2025, when the company announced that its fiscal 2024 financial statements could no longer be relied upon due to an internal investigation into Lugano [2]. - Following the announcement, Compass's stock price plummeted from 6.55 per share on May 8, 2025 [2]. Group 2: Next Steps for Investors - Investors who suffered losses during the relevant time frame have until July 8, 2025, to request the Court to appoint them as lead plaintiff, although participation in any recovery does not require serving as a lead plaintiff [3]. - Class members may be entitled to compensation without any out-of-pocket costs or fees [3]. Group 3: Legal Representation - Levi & Korsinsky, LLP has a strong track record in securing compensation for shareholders and has been recognized as one of the top securities litigation firms in the United States [4].