Globalscape, Inc. provides enterprise FTP solutions for mission-critical file transfers.

According to the law firm press release, the lawsuit alleges that throughout the Class Period, the Defendants made false and/or misleading statements and/or failed to disclose that: (i) Globalscape overstated the reported amounts of accounts receivable as of December 31, 2016, and license revenue for the three months and year ended December 31, 2016, by approximately $403,000 and $396,000, respectively, resulting in the overstatement of the Company's revenues for those periods by the same amounts; (ii) the Company's total current assets and total assets were overstated by $292,000; (iii) the Company's total stockholder equity and total liabilities and stockholders' equity were overstated by $217,000 and $292,000, respectively; (iv) the Company lacked adequate internal controls over financial reporting; and (v) that as a result, Global's publicly disseminated financial statements were materially false and misleading.

On November 6, 2017, the Court appointed Lead Plaintiff and Counsel. Lead Plaintiff filed an amended Complaint on July 26, 2018. On September 13, the parties entered into a Stipulation and Agreement of Settlement. On October 2, the Court issued an Order granting preliminary approval of the Settlement. On December 18, the Court granted final approval of the Settlement and entered Final Judgment. On January 13, 2020, the Court issued an Order for distribution of the net Settlement fund.