The investigation is focusing on violations of state laws and possible breaches of fiduciary duty by Koss, and its employees, in relation to the misappropriation of Koss funds by Koss employees for personal use and the possible concealment of the fraud through financial statement manipulation.
Based on results of an internal review, Koss employees have received over $30 million fruadelently, since 2005.
Koss, which is based in Milwaukee, Wisconsin, designs, manufactures and sells stereo headphones and related products.
Founded in 1936, Pomerantz Haudek Grossman & Gross LLP have represented investors in scores of suits against some of the country’s largest banks, brokers, mutual funds, accounting firms, industrial corporations, and their officers and directors.