Lawsuits on behalf of investors, who purchased their Hansen Medical, Inc. (Public, NASDAQ:HNSN) shares between May 1, 2008 and October 18, 2009, alleging violations of Federal Securities Laws by Hansen Medical and others are currently pending in the United States District Court for the Northern District of California. In addition an investigation on behalf of long term investors of Hansen Medical, Inc. (Public, NASDAQ:HNSN), who currently hold their HNSN shares, focusing on potential claims against certain directors and officers of Hansen Medical, Inc. (NASDAQ:HNSN) was announced.
Several investors in Hansen Medical, Inc. (NASDAQ:HNSN) filed lawsuits against Hansen Medical and others over alleged violations of Federal Securities Laws by knowing or recklessly disregarding that their public statements between May 1, 2008 and October 18, 2009 concerning Hansen Medical `s business, operations and prospects were materially false and misleading. On October 19, 2009, Hansen Medical announced that the audit committee of Hansen Medical `s board of directors, upon the recommendation of management, concluded that the Company`s previously issued financial statements contained in its annual report on Form 10-K for the year ended December 31, 2008, and the Company`s quarterly reports on Form 10-Q for the quarters ended March 31, 2008, June 30, 2008, September 30, 2008, March 31, 2009 and June 30, 2009, should no longer be relied upon because of errors arising from 'potential irregularities outside of the accounting department.'
In addition, Hansen Medical indicated that the related press releases, reports and stockholder communications describing Hansen Medical`s financial statements for the identified periods and the report of Hansen Medical`s independent registered accounting firm, PricewaterhouseCoopers LLP,related to the year ended December 31, 2008 also should no longer be relied upon. According to the Company, Hansen Medical identified systems for which revenue should have been recognized in a later period than the period in which it was recognized, and revenue on systems that should have been reflected as deferred revenue on its balance sheet as of June 30, 2009. As a result of this news, so the lawsuit, the price of Hansen Medical shares declined $0.31 per share, more than 9%, to close on October 19, 2009, at $3.12 per share, on unusually heavy trading volume. Hansen Medical, Inc., located in Mountain View, California, develops, manufactures and sells generation of medical robotics designed for accurate positioning, manipulation and stable control of catheters and catheter-based technologies. Hansen Medical reported in 2007 Total Revenue of $10.09million and in 2008 Total Revenue of $30.23million. Shares of Hansen Medical (HNSN) traded recently at $3.00 per share, down from its 52weekHigh of $11.89 per share, $14.71 per share in September 08, $18.90 per share in July 08, $28.91 per share in January 08, and $37.50 per share in October 2007.