BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed in the United States District Court for the Southern District of Florida on behalf of purchasers of the common stock of Altisource Portfolio Solutions S.A. (“Altisource” or the “Company”) (NASDAQ:ASPS) between July 25, 2013 and August 4, 2014, inclusive (the “Class Period”).
Altisource operates as a marketplace and transaction solutions provider for the real estate, mortgage and consumer debt industries in the United States. The Complaint alleges that: (1) Altisource was charging exorbitant fees to Ocwen Financial Corp., to enable defendants to funnel as much as $65 million in questionable fees; (2) despite public representations to the contrary, the Company’s chairman was personally involved in approving conflicted transactions with Altisource and other related entities which he controlled; (3) the Company failed to comply with applicable laws and regulations, including lending regulations designed to protect homeowners; (4) the Company's financial statements during the Class Period were artificially inflated and did not provide a fair presentation of the Company's finances and operations; (5) the Company lacked adequate internal and financial controls; and (6) as a result of the foregoing, the Company's financial statements were materially false and misleading at all relevant times.
On August 4, 2014, news reports disclosed that New York’s Department of Financial Services (“DFS”) was investigating whether the Company entered into improper transactions with affiliated entities. According to the DFS, it appears that Altisource entered into an arrangement with Ocwen that will generate significant revenue from Ocwen’s new forced-place arrangement while requiring little work on Altisource’s behalf. Following this news, shares of Altisource declined nearly 15%, to a closing price of $88.65 on August 4, 2014, on heavy volume.
If you are a member of the Class described above, you have until November 7, 2014, to move the Court to serve as lead plaintiff, if you meet certain legal requirements. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, 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 email@example.com, or visit our website at http://www.howardsmithlaw.com.