Marrone Bio’s Executives Under Investigation for Breaching Fiduciary Duties
Shareholder and consumer rights law firm Schubert Jonckheer & Kolbe LLP today launched an investigation into whether certain officers and directors of Marrone Bio Innovations, Inc. (NASDAQ: MBII) breached their fiduciary duties to Marrone Bio and its shareholders.
The investigation concerns allegations that Marrone Bio’s key executives and board members caused the company to issue materially false and misleading statements concerning its financial results, business, and operations and failed to maintain effective internal controls over financial reporting.
On September 3, 2014, Marrone Bio announced that the Audit Committee of the company's Board of Directors had commenced an investigation concerning its recognition of revenue during the Fourth Quarter 2013 related to an $870,000.00 transaction. The Audit Committee, in consultation with company management, concluded that certain recent company financial statements should no longer be relied on. These included financial statements related to Fiscal Year 2013 and the Fourth Quarter 2013 included in the company’s Annual Report for the year ending December 31, 2013, the related report of the independent auditors of such financial statements dated March 25, 2014, and unaudited interim financial statements included in the company’s Quarterly Reports for the quarters ending March 31, 2014 and June 30, 2014.
Shares of Marrone Bio have declined from $18.65 per share in January 2014 to approximately $3.18 per share, representing a loss of approximately 83% of the stock’s value and a loss of $377 million in market capitalization.
Marrone Bio shareholders that purchased prior to September 3, 2014 may have the option to pursue a shareholder derivative action through which shareholders may hold insider wrongdoers accountable for their actions, prevent future misconduct, and bring long-term value back to the company.
If you currently own MBII stock and wish to obtain additional information about the investigation and your legal rights, please fill out our form (at right) or contact Miranda Kolbe either via email at mkolbe@schubertlawfirm.com or by phone at 415-788-4220.
