NEW YORK, Aug. 06, 2019 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Intelligent Systems Corporation ("Intelligent Systems" or the "Company")(NYSE:INS) of the September 9, 2019 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.

If you invested in Intelligent Systems stock or options between January 23, 2019 and May 29, 2019 and would like to discuss your legal rights, click here: www.faruqilaw.com/INS. There is no cost or obligation to you.

You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.

CONTACT:
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Attn:  Richard Gonnello, Esq.
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The lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of all those who purchased Intelligent Systems securities between January 23, 2019 and May 29, 2019 (the "Class Period"). The case, Skrzeczkoski v. Intelligent Systems Corporation et al., No. 19-cv-03949 was filed on July 9, 2019.

The lawsuit focuses on whether the Company and its executives violated federal securities laws by by failing to disclose that: (1) Defendant Petit, the "financial expert" on Intelligent Systems’ Audit Committee engaged in accounting fraud as the CEO of MiMedx Group, Inc.; (2) Intelligent Systems’ CEO, Defendant Strange, engaged in undisclosed related-party transactions with Defendant Petit and others and had an undisclosed personal relationship with the Company’s auditor; (3) Intelligent Systems had its employees set up or take control of shell companies in Asia so they could partake in undisclosed related-party transactions for the purpose of either fabricating revenue for the Company and/or siphoning money out of the Company; and (4) as a result, defendants’ statements about Intelligent Systems’ business, operations, and prospects were materially false and/or misleading and/or lacked a reasonable basis at all relevant times.

On May 24, 2019, before market hours, Aurelius Value published a report entitled "INS: A Wolf in Pete’s Clothing." The report discussed MiMedx Group’s disclosures concerning Defendant Petit and also accused the Company’s CEO, Defendant Strange, inter alia, of having engaged in undisclosed related-party transactions with Defendant Petit and others and of having an undisclosed personal relationship with INS’s auditor, Nicolas Cauley.

On this news, Intelligent Systems's share price fell from $39.11 per share on May 23, 2019 to a closing price of $34.93 on May 24, 2019: a $4.18 or a 10.69% drop.

On May 30, 2019, before the market opened, Grizzly Research LLC issued a report entitled "Intelligent Systems Corp: Material Undisclosed Related Party Transactions Cast Doubt on the Integrity of Financial Statements." The report presented evidence that "Intelligent Systems Corp. (INS) has its employees set up or take control of undisclosed shell companies in Asia, who then partake in undisclosed related party transactions with INS intended to either round-trip revenue back to INS or siphon money out of the company." (emphasis in original). It further stated that "there is a possibility that all revenue growth since January 2018 has been a result of undisclosed round-trip transactions with Indian related parties."

On this news, Intelligent Systems's share price fell from $33.81 per share on May 29, 2019 to a closing price of $26.99 on May 30, 2019: a $6.82 or a 20.17% drop.

The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not. 

Faruqi & Faruqi, LLP also encourages anyone with information regarding Intelligent Systems's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.

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