Lawsuit for Investors in Shares of GlobalSCAPE, Inc. (NYSE American: GSB) Announced by Shareholders Foundation

SAN DIEGO, CA / ACCESSWIRE / September 6, 2017 / The Shareholders Foundation, Inc. announces that a lawsuit was filed for investors who purchased NYSE American: GSB shares against GlobalSCAPE, Inc. over alleged Securities Laws Violations in connection with certain allegedly false and misleading statements.

Investors who purchased shares of GlobalSCAPE, Inc. (NYSE American: GSB) have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 – 1554.

On August 7, 2017, during aftermarket hours, GlobalSCAPE revealed that it’s Audit Committee “has been conducting an investigation into certain transactions in the fourth quarter of 2016 involving improper arrangements with customers that circumvented the Company’s internal controls and their potential effect on previously reported revenue.” GlobalSCAPE further revealed that, based on the investigation, “the improper arrangements with customers that circumvented the Company’s internal controls have the effect of overstating the reported amounts of accounts receivable as of December 31, 2016, and license revenue for the three months and year ended December 31, 2016, by approximately $403,000 and $396,000, respectively.”

On August 9, 2017, a lawsuit was filed against GlobalSCAPE, Inc. over alleged violations of securities laws. The plaintiff claims that the defendants made false and/or misleading statements and/or failed to disclose that GlobalSCAPE overstated the reported amounts of accounts receivable as of December 31, 2016, and license revenue for the three months and year ended December 31, 2016, by approximately $403,000 and $396,000, respectively, resulting in the overstatement of the Company’s revenues for those periods by the same amounts, that GlobalSCAPE’s total current assets and total assets were overstated by $292,000, that GlobalSCAPE’s total stockholder equity and total liabilities and stockholders’ equity were overstated by $217,000 and $292,000, respectively, that GlobalSCAPE lacked adequate internal controls over financial reporting, and that as a result, GlobalSCAPE’s publicly disseminated financial statements were materially false and misleading.

Those who purchased GlobalSCAPE, Inc. (NYSE American: GSB) shares should contact the Shareholders Foundation, Inc.

The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

CONTACT:

Shareholders Foundation, Inc.
Michael Daniels
+1 (858) 779-1554
mail@shareholdersfoundation.com
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108

SOURCE: Shareholders Foundation, Inc.

ReleaseID: 474690