October 08, 2009 16:52 ET

Bronstein, Gewirtz & Grossman, LLC Announces Class Action Lawsuit Against Psychiatric Solutions, Inc.

NEW YORK, NY--(Marketwire - October 8, 2009) - Bronstein, Gewirtz & Grossman, LLC announces that a class action has been filed in the United States District Court for the Middle District of Tennessee on behalf of those who purchased or otherwise acquired stock of Psychiatric Solutions, Inc. ("Psychiatric Solutions" or the "Company") (NASDAQ: PSYS), during the period between February 21, 2008 through and including February 25, 2009 (the "Class Period").

The Complaint charges the defendant with violations of the Securities and Exchange Act of 1934 by issuing materially false and misleading statements concerning the Company safeguard and controls over its operations. Defendants downplayed incidents at the Company facilities, falsely indicating that the deficiencies had all been resolved, falsely assuring investors that corrective actions had already been taken at the Company's facilities to improve the quality, safety and risk management, and failing to properly account for its contingent liabilities related to the deficiencies surrounding its operations in violation of Generally Accepted Accounting Principles. According to the complaint, after this previously undisclosed information was revealed, the value of Company's stock declined significantly.

No Class has yet been certified in the above action. If you wish to review a copy of the Complaint, to discuss this action, or have any questions, please contact either Peretz Bronstein or Eitan Kimelman of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484 or via email eitan@bgandg.com. Those who inquire by e-mail are encouraged to include their mailing address and telephone number. November 20, 2009 is the deadline for investors to seek a lead plaintiff appointment.

Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate work, private securities offerings, and securities arbitration.

Contact Information

  • Contact:
    Peretz Bronstein
    Eitan Kimelman
    Bronstein, Gewirtz & Grossman, LLC
    212-697-6484
    Email Contact