NEW YORK–(BUSINESS WIRE)–Today, leading investor rights law firm Bernstein Litowitz Berger & Grossmann LLP (“BLB&G”) filed a class action lawsuit alleging violations of federal securities laws in the District Court of the Southern District of Ohio against Dentsply Sirona, Inc. (“Dentsply” or the “Company”) and certain of the Company’s former senior officers (collectively, the “Defendants”) on behalf of investors in Dentsply common stock between June 9, 2021 and May 9, 2022 inclusive (the “Class Period”).
BLB&G filed this action on behalf of its client, City of Miami General Employees’ & Sanitation Employees’ Retirement Trust, and the case is captioned City of Miami General Employees’ & Sanitation Employees’ Retirement Trust v. Casey, Jr., #2: 22-cv-02371-SDM-CMV (SD Ohio). The complaint is based on a thorough investigation and careful assessment of the merits of this case. A copy of the complaint is available on the BLB&G website by clicking here.
Dentsply alleged fraud
Dentsply is a dental equipment manufacturer with offices across the United States. Dentsply produces a wide range of dental supplies, ranging from anesthetics, plaque and gum disease prevention, tooth polishers and artificial teeth. The Company distributes approximately two-thirds of its dental consumable technology and equipment products through third-party distributors.
The complaint alleges that, throughout the class action period, the defendants orchestrated a scheme to inflate the company’s revenues and profits by manipulating its accounting for a distributor rebate program to qualify senior executives. significant cash and stock incentive compensation. In order to facilitate this scheme, Dentsply and its officers made numerous false and misleading statements to investors during the Class Period. Due to the defendants’ misrepresentations, Dentsply common stock traded at artificially inflated prices during the class period.
The truth about Dentsply’s misconduct came to light through a series of disclosures, beginning on April 19, 2022, when Dentsply announced the sudden dismissal of its CEO Don Casey. Then, on May 10, 2022, Dentsply announced that, following reports from several whistleblowers, its board’s audit committee had opened an internal investigation into certain financial reporting matters. Specifically, Dentsply disclosed that the audit committee was investigating “the company’s use of incentives to sell products to distributors during the third and fourth quarters of 2021” and “whether these incentives were properly accounted for.” In addition, the audit committee was also investigating allegations that “certain former and current senior executives directed the company to use these incentives and other actions to achieve executive compensation targets in 2021. “. Following these revelations, Dentsply’s share price fell precipitously.
If you wish to act as the lead plaintiff in the class, you must file a motion with the court no later than August 1, 2022, which is the first business day that the U.S. District Court for the Southern District of Ohio is open. 60 days after the posting date of June 2, 2022. Any member of the proposed class may request to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed class .
If you wish to discuss this action or have any questions regarding this notice or your rights or interests, please contact Scott R. Foglietta of BLB&G at 212-554-1903, or by email at [email protected]
BLB&G is widely recognized around the world as a leading law firm advising institutional investors on matters relating to corporate governance, shareholder rights and securities litigation. Since its founding in 1983, BLB&G has built an international reputation for excellence and integrity and has pioneered the use of the litigation process to achieve unprecedented governance reforms. Unique among its peers, BLB&G has secured many of the largest and largest title recoveries in history, recovering over $37 billion on behalf of defrauded investors. More information about the firm can be found online at www.blbglaw.com.