Robbins Umeda, a California-based law firm, has begun investigating possible mismanagement of Stryker, a medical technology company that manufactures and sells medical devices, primarily orthopedic surgical implants and medical equipment.
Robbins Umeda’s investigation of Stryker concerns questionable statements issued by the company between January 25, 2007 and November 13, 2008. The statements are regarding its business success and profitability as well as whether the company cut corners on its operational costs by failing to document and maintain adequate quality controls over the products it manufactured.
Stryker’s insiders allegedly took advantage of the stock’s 52-week high of $75 per share in November 2007, when they sold their personally-held shares generating more than $300m in proceeds prior to the stock’s 52% decline to $36.11 on November 20, 2008.
A lawsuit alleging violations of the Securities Exchange Act of 1934 has been filed on behalf of shareholders who purchased or otherwise acquired Stryker stock between January 25, 2007 and November 13, 2008, seeking recovery from Stryker and certain of its officers, for the damages they have suffered as a result of the officers’ mismanagement of the company. Securities class actions like this can potentially cause additional damage to the company.