WASHINGTON--(BUSINESS WIRE)--U.S. Market Advisors Law Group PLLC announces that a securities fraud class action has been filed on behalf of purchasers of the common stock of Longfin Corp. (NASDAQ:LFIN) between December 15, 2017 and April 2, 2018. The lawsuit seeks to recover damages for Longfin investors under the federal securities laws.
On April 2, 2018, USMA Law Group publicly alerted investors of its investigation and intent to file a class action. At the same time, USMA Law Group coordinated with the plaintiff and co-counsel for yesterday’s filing of the securities fraud class action Complaint. A copy of the Complaint is available on USMA Law Group’s website.
To join the Longfin class action, please visit: http://usmarketlaw.com/longfin/. You may also contact attorney David P. Abel to discuss this matter at no obligation or cost: (202) 274-0237; email@example.com. If you wish to serve as lead plaintiff, you must move the Court no later than June 2, 2018.
The Complaint alleges that, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Longfin had material weaknesses in its operations and internal controls that hindered the Company’s profitability; (ii) Longfin did not meet the requirements for inclusion in Russell indices; and (iii) as a result of the foregoing, the Defendants’ public statements were materially false and misleading at all relevant times.
On March 26, 2018, stock commentary website Citron Research (“Citron”) posted a tweet on Twitter.com questioning the veracity of Longfin’s operations. The same day, Russell issued a statement announcing Longfin would be removed from its global indices after market close on March 28, 2018, only approximately 12 days after being added.
These events caused the price of the company’s stock to decline from $71.10 per share on March 23, 2018, to close at $14.31 per share on April 2, 2018, a decline of 79.9%, damaging investors.
On April 2, 2018, after the close of trading, Longfin filed its 2017 annual report with the SEC. The annual report confirmed that Longfin had material weakness in its internal control over financial reporting, was not profitable and was the subject of an SEC investigation.
Visit USMA Law Group’s Longfin class action webpage for more: http://usmarketlaw.com/longfin/.
About USMA Law Group
USMA Law Group is a national law firm based in the District of Columbia. The firm represents investors in antitrust, securities and shareholder litigation. To learn more, visit www.usmarketlaw.com.