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HearUSA, Inc. Securities Litigation

Related Lawyers: William P. Butterfield, Timothy S. Kearns
Related Practice Areas: Financial Services and Securities

Hausfeld served as Court-appointed lead counsel in a securities fraud class action against Siemens Hearing Instruments, Inc. (“Siemens”) on behalf of investors who sold HearUSA, Inc. common stock between January 18, 2011 and July 31, 2011; through Hausfeld’s efforts, participating class members ultimately received more than 115% of damages suffered.

The lawsuit alleged that Siemens - HearUSA’s largest shareholder, creditor, and supplier - issued fraudulent statements in its Schedule 13D filings with the Securities and Exchange Commission (“SEC”) in an attempt to artificially suppress the price of HearUSA common stock. Further, the complaint alleges that as a result of Siemens’ false and misleading statements, HearUSA’s common stock plummeted, falling in value from $0.90/share on January 18, 2011 to $0.35/share on July 28, 2011. Consequently, numerous investors sold their common stock at a huge loss.

The District of New Jersey appointed MTB Investment Partners lead plaintiff and Hausfeld lead counsel on May 18, 2012; Hausfeld overcame a motion to dismiss and negotiated a settlement that ultimately returned approximately 115% of recognized losses to participating class members after attorneys’ fees and expenses were paid.

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