MagnaChip Semiconductor Corporation

MagnaChip Semiconductor Corporation

UPDATE

On November 21, 2016, the Court approved a final settlement of the claims in this litigation with all of the defendants other than Avenue Capital Management II, L.P., for $23.5 million in cash.

A copy of the judgment approving the settlement is available in the right sidebar. 

UPDATE

On March 4, 2016, the Court denied the motion of the sole remaining defendant Avenue Capital Management II, L.P., to dismiss Plaintiffs' claims under Section 20(a) of the Exchange Act and Section 20A(a) of the Exchange Act.

You may download a copy of the order from the right sidebar.

UPDATE

On December 11, 2015, Plaintiffs filed a notice of settlement of claims for $23.5 million against the following defendants: MagnaChip Semiconductor Corp., Sang Park, Tae Young Hwang, Margaret Sakai, R. Douglas Norby, Ilbok Lee, Nader Tavakoli, Randal Klein, Michael Elkins, Barclays Capital Inc., Deutsche Bank Securities Inc., Citigroup Global Markets Inc., UBS Securities LLC, and Needham & Company, LLC.

ORIGINAL ANNOUNCEMENT

We are investigating possible violations of federal securities laws by officers and directors of MagnaChip Semiconductor Corporation (Magna) (NYSE: MX).

On March 11, 2014, after close of trading, Magna announced that it was pulling its fourth-quarter guidance, would delay issuing full-year results, and would restate financial results as far back as 2011, after an audit committee found errors in the way the company recognized revenue on certain transactions. More specifically, Magna explained that revenue on certain transactions was improperly recorded when products were shipped to a distributor instead of being recognized when the distributor shipped the product to a customer.

Magna further announced that it has appointed Jonathan W. Kim as the company's new chief accounting officer to assist with the restatement. Magna added that Chief Financial Officer Margaret Sakai will no longer serve as the company's principal accounting officer.

Upon the above news, the price of MX stock has dropped sharply after hours.

Persons with relevant information, and MX shareholders with questions about this investigation, are invited to contact the attorney below, or our Firm by calling 866.833.6245.

Contact

J. Elazar Fruchter
845-425-4658