New York based attorney, Joseph Klein of Klein Law Firm has put out a reminder to investors of a class action filed on behalf of Rio Tinto PLC Shareholders in the United States District Court for the Southern District of New York that alleges the company violated federal securities laws.
Klein said shareholders have until December 22, 2017 to petition the court for lead plaintiff status.
In 2011, Rio Tinto acquired certain Riversdale Mining Limited coal assets in Mozambique that became known as Rio Tinto Coal Mozambique (RTCM).
The complaint alleges that throughout the Class Period, defendants made false and misleading statements and/or failed to disclose adverse information regarding RTCM’s true value.
The misleading statements are within months of the purchase, now-former senior executives knew of material problems adversely affecting RTCM’s multi-billion dollar publicly reported valuation.
In addition, as time passed, the same senior executives knew of additional problems and events that, under applicable accounting rules, required an impairment analysis of RTCM and reductions in its reported valuation; and the executives thwarted the required impairment analysis and continued to tout RTCM’s value to investors.
Klein has also implores shareholders information even if they choose to be an absent class member.