Green Mountain Hid SEC Probe Before $250M Sale: Suit

Law360, New York (September 30, 2010, 7:05 PM EDT) -- Shareholders of Vermont-based Green Mountain Coffee Roasters Inc. filed a putative class action Thursday that accuses the company of hiding a federal investigation into its finances in order to complete a $250 million stock sale to Italian coffeemaker Luigi Lavazza SpA.

The complaint was filed in the U.S. District Court for the District of Vermont after Green Mountain disclosed in a regulatory filing Tuesday that it was cooperating with a U.S. Securities and Exchange Commission inquiry regarding revenue recognition practices.

According to the shareholders, it was...
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