Step 1
Draft
Step 2
Unite with Fellow Investors
Step 3
Choose the Best Attorney
Step 4
Provide Documents
Step 5
Follow Case Progress
Step 6
Get Payout
FLUX.US
id: 1381
Flux Power ($FLUX) Investor Settlement
Late claims are being considered for compensation, subject to approval.
$1,750,000
Cash SettlementS.D. California
Court3:25-cv-00113
Case number11/15/2021
Class period Start02/14/2025
Class period End03/03/2026
Claim deadlineFlux Power has reached a settlement with $FLUX investors over claims that it overstated inventory and profits and failed to disclose weaknesses in its financial controls.
Outline:
Flux Power reported financial results and inventory figures to investors. Investors later alleged the company overstated inventory and profits and failed to disclose weaknesses in its internal controls. In 2024, the company disclosed accounting errors and outdated inventory that required financial restatements. After the stock declined and investors filed suit, Flux Power later agreed to a settlement.
Timeline:
- September 5, 2024: Flux Power disclosed $1.2 million in outdated inventory and announced it would restate financials due to ineffective internal controls.
- September 5, 2024: $FLUX fell more than 5% following the announcement.
- October 1, 2024: After missing deadlines for revised financial statements, $FLUX dropped another 6%.
- January 16, 2025: Investors filed a securities class action alleging inflated financial statements and undisclosed control weaknesses.
- April 21, 2025: The parties reached a settlement agreement.
Background:
Flux Power Holdings Inc. develops lithium-ion battery systems used in industrial equipment such as forklifts and airport ground support vehicles. The company reported financial results and operational updates to investors regarding its performance and inventory levels.
In September 2024, Flux Power disclosed accounting issues involving approximately $1.2 million in outdated inventory. The company also reported that certain items had been misclassified, which affected reported gross profit and total asset figures.
Flux Power further stated that weaknesses in its internal accounting controls contributed to the errors and that previous financial statements could no longer be relied upon. The company announced plans to restate its financial results.
Following these disclosures and delays in revised filings, $FLUX declined across multiple trading sessions. Investors later filed a securities class action alleging the company had overstated its financial performance and failed to disclose material weaknesses in its financial controls.
What Can Investors Expect Now?
Flux Power agreed to a settlement with $FLUX investors to resolve claims that it misled them about inventory levels, financial reporting, and internal controls.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section.
Case Type
US Securities Class Action
Case Status
Accepting Late Claims
Alleged Offence
Mismanagement,
Misleading Statements,
Financial Misrepresentation,
Failure to Disclose
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.12
Filing date
11/01/2024
Lead Plaintiff Deadline
12/31/2024
Plaintiffs
Brandon Paulson
Attorneys
Leverty & Associates, Chtd.; The Rosen Law Firm, P.A.
Defendants
Ronald F. Dutt: Charles A. Scheiwe
Judge
Cristina D. Silva
Administrator
Strategic Claims Services
Court hearing date
04/02/2026
Exclusion deadline
03/12/2026
Objection deadline
03/12/2026
Attorney fee
$658,333
Trades matching type
FIFO
Frequently Asked Questions
Who is eligible for this settlement?
Do I have to sell securities to be eligible?
How long does the payout process take?
How to get your payout?
What is 11th.com?
Trusted by industry leaders
Endorsed by top professionals who trust our innovative solutions to drive impactful results.