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Law Offices of Howard G. Smith Announces Investigation On Behalf of Shareholders of FalconStor Software, Inc.

^{Published on 2010-09-29 17:40:19 - Market Wire}
 

BENSALEM, Pa.--([ BUSINESS WIRE ])--Law Offices of Howard G. Smith announces that it is investigating potential claims against FalconStor Software, Inc. (aFalconStora or the aCompanya) (NASDAQ:FALC) concerning possible breaches of fiduciary duty or other violations of law by the Company or its board of directors. FalconStor develops, manufactures and sells network storage software solutions in the United States and internationally.

"a special committee of the Board has been formed to conduct a full internal investigation of these matters."

The investigation concerns the Companya™s September 29, 2010, announcement that FalconStora™s President, Chief Executive Officer and Chairman of the Board, ReiJane Huai, resigned from all of his positions with the Company. The Companya™s announcement stated that Huai resigned afollowing his disclosure that certain improper payments were allegedly made in connection with the Companya™s contract with one customer,a and that aa special committee of the Board has been formed to conduct a full internal investigation of these matters.a The Company issued press release further stated that it has fully cooperated with law enforcement authorities with respect to the separate aongoing investigation.a

If you purchased shares of FalconStor and still hold those shares, if you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to [ howardsmith@howardsmithlaw.com ], or visit our website at [ http://www.howardsmithlaw.com ].