Attorney Ademi & O’Reilly Investigates Possible Securities Fraud of Carbonite
As Server VM Edition, launched in October 2018, was technically substandard, of poor quality, and being rejected by customers.
This is a Press Release edited by StorageNewsletter.com on July 31, 2019 at 2:13 pmAdemi & O’Reilly, LLP is investigating possible securities fraud claims against Carbonite, Inc., resulting from inaccurate statements the firm made regarding its business practices, financial statements and prospects.
The investigation focuses on the extent to which Carbonite issued false and misleading statements regarding its business practices, products, financial statements, past and future business performance and prospects.
Specifically, its virtual server edition of its server backup product, called Carbonite Server VM Edition and launched in October 2018, was technically substandard and of poor quality and being rejected by customers.
As a result, contrary to earlier representations, the product would not be contributing to revenue in any material way starting in 2H19 and through 2020.
Carbonite also announced that CEO Mohamad Ali was resigning effective July 31, 2019.
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