Advanced Emissions Solutions under investigation

A law office recently announced the investigation of an emission solution holding company after shareholders brought forth allegations of securities law violations. There is a possibility that the investigation will develop into a securities class action lawsuit.

Law firm Pomerantz, LLP, noted that it will look into the leaders of Advanced Emissions Solutions, Inc. The company allegedly violated the Securities Exchange Act of 1934, specifically Sections 10(b) and 20(a).

Advanced Emissions Solutions filed a Form 8-K with the Securities Exchange Commission on March 13, 2014, and noted that it was taking a look at its accounting practices. This was due for a need to reexamine its emission control business revenue. When this is complete, there is a chance the company could see a spike in operating losses due to a lessening of its revenues and margins. Once this information came out, the company's stock fell to $50.90 per share from the previous level of $54.23 per share.

There also was an announcement on April 24, 2014, that it was not able to file its annual report with its Form 10-K for the SEC. This document was for the fiscal year ending in December. Advanced Emissions Solutions explained that it was not completed with the accounting review process, as there were issues with its recognizing revenue controls and financial reporting. When this occurred, the company's stock fell 6 percent – or $1.66 – to $22.32 per share.

In order to learn more about this action, speaking with the law office is an option. Shareholders can discuss these matters with Robert Willoughby, who can be reached by telephone or email.

Second investigation underway
Another law office noted that it will investigate Advanced Emissions Solutions in order to determine whether or not shareholders' claims have merit. This also could become a class action claim in the future.

Johnson and Weaver, LLP, started to look into the allegations against the company for many of the previously mentioned reasons. Shareholders may have been misled by the company's leaders due to the statements made about its business outlook, financial reporting and prospects.

It is also an option to speak with this law office to learn more about the situation. Jim Baker is the best person available to discuss these matters with, and he can be reached by telephone or email.