The law firm of Federman & Sherwood has launched an investigation of
Tile Shop Holdings, Inc. (NASDAQ: TTS) (“TTS” or “the Company”) for
possible violations of Sections 10(b) and 20(a) of the Securities
Exchange Act of 1934 and/or breaches of fiduciary duty by the Company’s
officers and directors.
In a recent 58-page report, Gotham City Research claimed that TTS
inflated and overstated its 2013 earnings by as much as 200%. Federman &
Sherwood is therefore investigating whether the Company: (1) uses
captive, phantom Chinese suppliers to overstate inventories, understate
cost of sales, and overstate gross profits in its SEC filings; and, (2)
has had material weaknesses in its internal accounting controls between
2011 and 2013, which will most likely cause the Company to restate its
financials.
If you currently own common stock in Tile Shop Holdings, Inc., have any
information to assist in our investigation, or have questions or
concerns regarding this notice or your rights or interests in this
matter, please contact Federman & Sherwood. Federman & Sherwood has
extensive nationwide experience in representing investors in securities,
derivative and merger-related shareholder class actions, and has been
appointed as lead counsel in multiple complex cases across the country.
Copyright Business Wire 2013