NEW YORK--(BUSINESS WIRE)--The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the California Central District Court on behalf of those who acquired Cummins Inc. (“Cummins” or the “Company”) (NYSE: CMI) securities during the period of April 30, 2019 to December 21, 2023, inclusive (“the Class Period”). Investors have until December 2, 2024, to apply to the Court to be appointed as lead plaintiff in the lawsuit.
[Click here to learn more about the class action]
On December 22, 2023, before the market opened, Cummins filed a Form 8-K, announcing an agreement in principle with the U.S. Environmental Protection Agency (EPA), the California Air Resources Board (CARB), the U.S. Department of Justice (DOJ), and the California Attorney General’s Office. This agreement aimed to resolve civil claims concerning Cummins’ emissions certification and compliance processes for specific engines used in pickup trucks in the U.S. As part of this resolution, Cummins expected a $2.04 billion charge in Q4 2023, alongside additional immaterial charges. On the same day, the DOJ released a statement indicating that Cummins allegedly installed unlawful emissions-defeating devices on 630,000 RAM 2500 and 3500 pickup truck engines from model years 2013–2019, as well as undisclosed auxiliary emission control devices on 330,000 model year 2019–2023 engines. The DOJ highlighted that the settlement included the largest civil penalty for a Clean Air Act violation, with Attorney General Merrick Garland stating that the agreement holds Cummins accountable for allegedly bypassing emissions tests, potentially causing health issues due to excess nitrogen oxide emissions.
On this news, the price of Cummins stock fell by $7.01 per share, or 2.87%, from $244.00 on December 21, 2023, to close at $236.99 on December 22, 2023.
The lawsuit alleges that Cummins made materially false and/or misleading statements and/or failed to disclose that: (1) despite assurances following its April 2019 announcement regarding compliance, Cummins continued producing engines with illegal emissions defeat devices from 2019 to 2023 and (2) as a result, Cummins understated its legal and regulatory exposure and overstated its commitment to environmental compliance.
If you purchased or otherwise acquired Cummins securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this CONTACT FORM, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.
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