|By PR Newswire||
|April 4, 2014 05:30 PM EDT||
NEW YORK, April 4, 2014 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Allied Nevada Gold Corporation ("Allied Nevada" or the "Company") (NYSE MKT: ANV) (CUSIP: 019344100). Investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 237.
The investigation concerns whether Allied Nevada and certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
According to a class action filed against Allied Nevada, the Company and its officers misstated or failed to disclose operating defects and deficiencies concerning the Company's Lewis Leach Pad, which rendered defendants' positive statements about Allied Nevada's Leach Pad solutions processing capacity, the Hycroft Mine mill expansion, and the Company's expected gold and silver production and its expected operating income and cash flows as materially false and or misleading.
On August 6, 2013, the Company announced in a Securities and Exchange Commission ("SEC") regulatory filing that, as a result of continuing weak cash flow from operations, the Company would defer the construction of the mill at Hycroft until completing of a revised feasibility study.
As a result of these disclosures, the price of Allied Nevada shares dropped from $5.90 per share on August 5, 2013, to a closing price of $3.73 per share on August 7, 2013, on heavy trading volume.
On this news, shares of Allied Nevada fell $2.17 to $3.73, or more than 36.78%, on unusually heavy trading volume, on August 5, 2013 to August 7, 2013.
The Pomerantz Firm, with offices in New York, Chicago, San Diego, and Florida, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
SOURCE Pomerantz LLP