AtriCure Inc.

Company Name
AtriCure Inc.
Stock Symbol
ATRC
Class Period
May 10, 2007 to October 31, 2008
Court
Southern District of Ohio, Western Division
Status
Settled

This action is brought on behalf of all purchasers of the securities of AtriCure Inc. during the period May 10, 2007 through October 31, 2008, inclusive (the “Class Period”). The Complaint charges AtriCure and certain of the Company’s executive officers with violations of sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and S.E.C. Rule 10b-5. The Complaint alleges that defendants fraudulently inflated AtriCure’s securities prices by improperly promoting its products to physicians and improperly causing the filing of false claims for reimbursement. On October 31, 2008 AtriCure revealed that it had received a letter from the U.S. Department of Justice (DOJ) informing the Company that the DOJ was conducting an investigation for potential False Claims Act and common law violations relating to the Company’s surgical ablation devices, that the DOJ was investigating the Company’s marketing practices utilized in connection with AtriCure’s surgical ablation system to treat atrial fibrillation – a specific use outside the Federal Food and Drug Administration’s 510(k) clearance – and that the DOJ was investigating whether AtriCure instructed hospitals to bill Medicare for surgical ablation using incorrect billing codes.