US SEC CLOSES INVESTIGATION
INTO EROS MEDIA WORLD PLC AND AFFILIATES;
INTERNAL INVESTIGATION
REVEALS NO WRONGOING
January 22,
2025,
DOUGLAS, Isle of Man
-: Eros Media World plc ("EMW" or
the "Company") is pleased to announce that the Company's internal
review of certain accounting practices and internal controls has
been concluded, with the Audit Committee concluding that no
revenues of the Company recognized during the fiscal year ended
March 31, 2020, were inappropriately recognized, and finding no
impairment in the intangible assets and goodwill reflected on the
Company's Form 6-K dated March 31, 2021. In addition, the Audit
Committee found no material weaknesses in internal controls over
financial reporting.
In addition, the Company is pleased
to announce that the investigation opened by the United States
Securities and Exchange Commission ("SEC") into the above subject
matters, among other issues, has been closed, with the SEC not
recommending an enforcement action against the Company, or any of
its affiliates, officers, or employees.
EMW has now been through several
waves of short attacks by short-sellers such as Hindenburg Research
(which recently announced that it was shutting down) as well as
three separate SEC investigations. The Company has been accused of,
and investigated for: allegedly inflated revenues, alleged false
and misleading financial statements, and alleged improper related
party transactions. The Company is pleased that all three SEC
investigations looking into those and other allegations have been
closed without further action taken by the SEC.
"We
are most pleased to have these issues behind us as we look forward
to a new future for the Company," said Kishore Lulla,
Executive Director of Eros Media
World Group. "We would
like to thank our United States counsel for their brilliant legal
representation and their extraordinary efforts on our behalf:
Kenneth E. Lee of Levine Lee LLP, lead litigation counsel and
regular outside counsel; Rachel G. Skaistis of Cravath, Swaine
& Moore LLP, SEC counsel; and Victor Hou of Cleary Gottlieb
Steen & Hamilton LLP."
ABOUT EROS MEDIA WORLD
PLC:
Eros Media World Plc, ("Eros", the
"Company") is a global media and entertainment company that
acquires, co-produces and distributes films, digital content and
music across multiple formats such as theatrical, television, OTT
digital media streaming and emerging web 3.0 ecosystem to consumers
around the world.
For more details -
https://erosmediaworld.com/
Media
contact:
Madison PR
Malika Bhavnani | malika.bhavnani@madisonpr.in
+91 9820496099
