Shareholder rights law firm Robbins LLP announces that a purchaser of Wrap Technologies, Inc. (NASDAQ: WRTC) has filed a class action complaint against the company's officers for alleged violations of the Securities Exchange Act of 1934 between April 29, 2020 and September 23, 2020. Wrap Technologies, Inc. is a security technology company whose sole product is the BolaWrap, a remote restraint device.
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Wrap Technologies, Inc. (WRTC) Misstates Viability of its Sole Product
According to the complaint, during the class period, the Company falsely touted the strength of its business and operational prospects. In December 2019, Wrap Technologies announced a 90-day pilot training program with the Los Angeles Police Department (LAPD) using BolaWrap. On July 22, 2020, White Diamond Research published a report alleging that BolaWrap had limited use in field and it was likely that Wrap Technologies did not secure a contract with the LAPD. On September 23, 2020, White Diamond Research published a follow up report titled entitled "Wrap Technologies: Disastrous LAPD BolaWrap Pilot Program Results, No Evidence These Have Been Communicated to Investors." According to the report, the Company failed to disclose key findings from LAPD's trial pilot program and extension because it revealed poor results. On this news, Wrap Technologies' stock dropped 25.43% to close at $6.07 and has yet to recover.
If you purchased Wrap Technologies, Inc. (WRTC) securities between April 29, 2020 and September 23, 2020, you have until November 23, 2020, to ask the court to appoint you lead plaintiff for the class.
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