Step 1
Unite with Fellow Investors
Step 2
Choose the Best Attorney
Step 3
Provide Documents
Step 4
Follow Case Progress
Step 5
Get Payout
OSIS.US
id: 1568
OSI Systems(OSIS): Investigation Into Fabricated Revenue Recognition and Foreign Corruption Risks
Attorneys review the case details to decide whether to proceed with a class action.
- OSI Systems executives are being investigated for allegedly inflating revenue from a Mexican defense deal by counting sales before delivering anything, while hiding possible bribery issues and insider risks.
- The company is also under scrutiny for secret ties to indicted middlemen, big insider stock sales, and growing foreign bribery investigations.
- Investors are currently investigating whether OSI Systems executives committed fraud or misled investors.
Case Details:
A March 2025 report says that OSI claimed $343 million in revenue from a $612 million Mexico defense deal, even though most of the systems weren’t working or delivered. This report suggests that they counted over $160 million too early.
The report also linked OSI to George Edward Walther-Meade, a key intermediary in the contract with Mexico’s Ministry of Defense (SEDENA), who was indicted for fraud and later died by suicide.
The DOJ has already subpoenaed OSI over these dealings. Additional subpoenas involve Guatemala and Honduras, where OSI's operations are reportedly tied to corruption networks and narcotrafficking-linked figures.
Meanwhile, insiders, including CEO Deepak Chopra, sold nearly $84 million in shares in recent years, with $19.9 million sold following his 2024 retirement announcement, intensifying scrutiny.
With growing uncertainty around OSI’s foreign contracting practices, revenue reporting, and insider behavior, investors are investigating whether executives engaged in serious misconduct or issued misleading statements.
Case Status
Attorney Investigation
Alleged Offence
Mismanagement,
Misleading Statements,
Financial Misrepresentation,
Fraud,
Failure to Disclose,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Short
Shock Event Date
03/13/2025