BENSALEM, Pa.–(BUSINESS WIRE)–Law Offices of Howard G. Smith announces an investigation on behalf of Bayerische Motoren Werke Aktiengesellschaft (“BMW” or the “Company”) (OTC: BMWYY) investors concerning the Company’s possible violations of federal securities laws.
On December 23, 2019, The Wall Street Journal reported that the U.S. Securities and Exchange Commission (“SEC”) was investigating whether BMW engaged in “sales punching,” a practice in which “a company boosts sales figures by having dealers register cars as sold when the vehicles actually are still standing on car lots.”
On this news, the price of BMW’s American Depositary Receipts (“ADRs”) fell $1.33, or nearly 7%, to close at $18.02 per ADR on December 23, 2019, thereby damaging investors.
On September 24, 2020, the SEC announced an $18 million settlement agreement with BMW regarding the investigation. According to the SEC’s order, from January 2015 to March 2017, the Company had “used its demonstrator and service loaner programs to boost reported retail sales volume and meet internal targets.” It also stated that from 2015 to 2019, BMW kept a reserve of unreported retail vehicle sales, which is used to meet internal monthly sales targets regardless of when the actual sale occurred.
On this news, BMW’s ADR price fell $0.51, or about 2%, to close at $23.07 per ADR on September 25, 2020, thereby damaging investors further.
If you purchased BMW securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.