Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $100,000 Investing In Tower Group International, Inc. To Contact The Firm
Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential securities fraud at Tower Group International, Inc. (“Tower” or the “Company”) (NASDAQ: TWGP).
The investigation focuses on whether the Company and its executives violated federal securities laws with respect to its disclosures concerning business, operational, and compliance policies. Specifically, the investigation focuses on whether: (i) Tower did not properly estimate its loss reserve provisions in regards to Generally Accepted Accounting Principles and (ii) the Company did not properly allocate goodwill and certain of its deferred tax assets.
On August 8, 2013, Tower announced it was postponing the release of its financial results for the second quarter of 2013 because the Company needed more time to review matters relating to the estimate of its loss reserves, its allocation of goodwill and certain tax accounts. Following this news, the stock dropped $5.20 or 24%.
On October 8, 2013, Tower announced that it will increase loss reserves to $365 million to cover additional losses in its commercial insurance lines and take a $215 million goodwill impairment charge. In response, Tower stock dropped $3.02 or 41%.
If you invested in Tower stock, bonds or options between May 9, 2011 and October 8, 2013 and would like to discuss your legal rights, you can contact us by calling Richard Gonnello or Francis McConville toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org or email@example.com. Faruqi & Faruqi, LLP also encourages anyone with information regarding Tower’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
If you have information regarding this case that you would like to make available, please click here to contact us about our investigation.