Ebix, Inc. (EBIX)
Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of Ebix, Inc. ("Ebix" or "the Company") (NASDAQ: EBIX). The investigation concerns whether Ebix and certain of its officers and/or directors have violated federal securities laws.
On February 19, 2021, post-market, Ebix revealed that its independent auditor, RSM US LLP (“RSM”), had resigned “as a result of being unable, despite repeated inquiries, to obtain sufficient appropriate audit evidence that would allow it to evaluate the business purpose of significant unusual transactions that occurred in the fourth quarter of 2020” related to the Company’s gift card business in India. RSM had also stated that there was a material weakness related to Ebix’s failure to design controls “over the gift or prepaid card revenue transaction cycle sufficient to prevent or detect a material misstatement.” In addition, Ebix and RSM disagreed over the accounting treatment of $30 million that had been transferred into a commingled trust account of Ebix’s outside legal counsel in December 2020. On this news, Ebix’s stock price fell sharply during intraday trading on February 22, 2021.
If you are aware of any facts relating to this investigation, or purchased Ebix shares, you can assist this investigation by visiting contacting the firm. You can also contact Peretz Bronstein or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC: 212-697-6484.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.