AAC Holdings, Inc. (AAC) $3.75M Investor Settlement
AAC Holdings, Inc. (AAC) agreed to settle $3.75M with investors to avoid further litigation.
The complaint alleged that the Company and its Leaders made materially false and misleading statements regarding the Company's business, operational, and compliance policies, specifically:
AAC's internal control over financial reporting and disclosure controls and procedures was inadequate to accurately reflect adjustments related to estimates for accounts receivable, provision for doubtful accounts, and revenue;
AAC consequently misstated financial and operating results in its annual reports for fiscal years 2016 and 2017, as well as all quarterly reports throughout 2017 and 2018;
those reports could not be relied upon, requiring AAC to restate the financial and operating results reflected therein;
As a result, the Company's public statements were materially false and misleading at all relevant times.