Multiple US law firms are investigating whether Tech Data and its executives violated any state or federal security laws in light of the accounting imbroglio it went public on last night.
Last night, the distributor announced it is restating its numbers for the last three years due to "accounting improprieties" relating to its UK business. The revelation knocked over 10 per cent of its share price.
The restatements could see Tech Data slash previously reported net profit by up to $33m.
Kahn Swick & Foti (KSF) LLC and Bronstein, Gewirtz & Grossman LLC both announced today that they are probing the firm on behalf of potential claimants.
KSF said its probe follows on not only from last night's bombshell and subsequent share slump, but also chief executive Robert Dutkowsky's sale of $2m worth of Tech Data stock on 7 March.
"KSF's investigation is focusing on whether Tech Data and/or its officers and directors violated state or federal securities laws," it stated.
Bronstein, Gewirtz & Grossman also said it is investigating potential claims on behalf of purchasers of Tech Data's securities. Like KSF, it wants to know whether the company or its executives violated any state or federal laws.
Tech Data gave few details on the nature of the accounting improprieties, other than saying that they related to how its UK business "reflected vendor accounting".
Tech Data said it had no comment to make on top of last night's statement.
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