San Diego, CA -- (SBWIRE) -- 02/23/2022 -- An investor, who purchased shares of Electric Last Mile Solutions, Inc. (NASDAQ: ELMS), filed a lawsuit over alleged violations of Federal Securities Laws by Electric Last Mile Solutions, Inc. f/k/a Forum Merger III Corp. (NASDAQ: ELMS, ELMSW, FIII, FIIIU, FIIIW).

Investors who purchased shares of Electric Last Mile Solutions, Inc. f/k/a Forum Merger III Corp. (NASDAQ: ELMS, ELMSW, FIII, FIIIU, FIIIW) have certain options and for certain investors are short and strict deadlines running. Deadline: April 4, 2022. Electric Last Mile Solutions, Inc. f/k/a Forum Merger III Corp. (NASDAQ: ELMS, ELMSW, FIII, FIIIU, FIIIW) investors should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

Troy, MA based Electric Last Mile Solutions, Inc., a commercial electric vehicle solutions company, focuses on designing, engineering, manufacturing, and customizing electric 'last mile' delivery and utility vehicles.

On February 1, 2022, Electric Last Mile Solutions, Inc.announced that certain executives had resigned, stating, "James Taylor, [] has resigned from his role as Chief Executive Officer and a member of the Board. In addition, Brian Krzanich has been appointed Non-Executive Chairman of the Board, replacing Jason Luo, who has also resigned from his position as Executive Chairman of the Board. The departures follow an investigation conducted by a Special Committee of the Board of Directors (the 'Special Committee')."

Additionally, Electric Last Mile Solutions, Inc. acknowledged, "on the basis of the Special Committee investigation, the Board concluded that the Company's previously issued consolidated financial statements should be restated and, therefore, should no longer be relied upon. The financial statements in question cover the period as of December 31, 2020, the period from August 20, 2020 (inception) through December 31, 2020, the six months ended June 30, and the nine months ended September 30, 2021. In connection with this conclusion, the Company, together with its advisors, is evaluating the accounting and treatment of certain equity issuances to executive officers. Although the Company cannot, at this time, estimate when it will file its restated financial statements for such periods, it is diligently pursuing completion of the restatement, including with respect to an evaluation of the Company's financial statement reserves for tax payments and contingencies."

Shares of Electric Last Mile Solutions, Inc. (NASDAQ: ELMS) declined from $7.21 per share in early January 2022 to as low as $1.82 per share on February 8, 2022.

The plaintiff claims that between March 31, 2021 and February 1, 2022 the defendants made false and/or misleading statements and/or failed to disclose: (1) ELMS's previously issued financial statements were false and unreliable; (2) Electric Last Mile Solutions, Inc's earlier reported financial statements would need restatement; (3) certain Electric Last Mile Solutions, Inc. executives and/or directors purchased equity in the Company at substantial discounts to market value without obtaining an independent valuation; (4) on November 25, 2021 (Thanksgiving), the Company's Board formed an independent Special Committee to conduct an inquiry into certain sales of equity securities made by and to individuals associated with the Company; and (5) as a result, Defendants' statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.

Those who purchased shares of Electric Last Mile Solutions, Inc. (NASDAQ: ELMS) have certain options and should contact the Shareholders Foundation.

Contact:
Shareholders Foundation, Inc.
Michael Daniels
3111 Camino Del Rio North - Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.