BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith reminds investors that purchasers of the securities of Santander Consumer USA Holdings Inc. (“Santander Consumer” or the “Company”) (NYSE:SC) pursuant and/or traceable to the Company’s Registration Statement and Prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s initial public offering on or about January 23, 2014 (the “IPO”), have until October 27, 2014, to file a motion to be appointed as lead plaintiff in the shareholder lawsuit.
Santander Consumer is a specialized consumer finance company, majority-owned by a subsidiary of Banco Santander, S.A., and provides vehicle finance and unsecured consumer lending products in the United States. The Company’s primary business is the indirect origination of retail installment contracts, principally through manufacturer-franchised dealers in connection with their sale of new and used vehicles to retail consumers. The Complaint alleges that the Registration Statement was false and misleading because it failed to disclose that Santander Consumer engaged in improper practices related to the Company’s subprime auto lending business, misrepresented the quality of the loans the Company had underwritten, and misrepresented the Company’s underwriting standards.
On August 7, 2014, Santander Consumer disclosed that the Company received a civil subpoena from the U.S. Department of Justice under the Financial Institutions Reform, Recovery and Enforcement Act (FIRREA). According to the Company, the subpoena requests “production of documents and communications that, among other things, relate to the underwriting and securitization of nonprime auto loans since 2007.” Following this news, Santander Consumer shares declined $0.28 per share, on unusually heavy volume, to close on August 8, 2014, at $17.95 per share − a 25% decline from the IPO price of $24.00.
If you are a member of the Class described above, you may move the Court no later than October 27, 2014, 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 firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.