RADNOR, Pa.--(BUSINESS WIRE)--The law firm of Kessler Topaz Meltzer & Check, LLP announces that a shareholder class action lawsuit has been filed against Longfin Corp. (Nasdaq: LFIN) (“Longfin”) on behalf of purchasers of Longfin publicly traded securities between December 13, 2017 and April 2, 2018, inclusive (the “Class Period”).
Longfin investors who purchased securities during the Class Period may, no later than June 4, 2018, seek to be appointed as a lead plaintiff representative of the class.
The complaint alleges that Longfin is a finance and technology company that specializes in structured trade finance solutions and physical commodities finance solutions.
According to the complaint, on March 26, 2018, Citron Research, a noted short seller, sent a tweet alerting investors that Longfin “is a pure stock scheme” and that an SEC enforcement action should not be far behind as “[f]ilings and press releases are riddled with inaccuracies and fraud.” Also, CNBC wrote the article “Shares of cryptocurrency play Longfin drop after short seller Citron calls it a 'pure stock scheme.’” Following this news, shares of Longfin fell $11.82 per share, or 16.6%, to close at $59.28 per share on March 26, 2018.
Then, on March 27, 2018, CNBC published the article, “Longfin loses more than a third of its value after the controversial cryptocurrency stock is booted from the Russell 2000 index” which discussed Longfin’s removal from the Russell 2000. Following this news, shares of Longfin fell $25.57 per share, or over 43.1%, over two trading days to close at $33.71 per share on March 28, 2018.
Finally, on April 2, 2018, Longfin filed its annual report on Form 10-K for the year ended December 31, 2017 with the SEC (the “2017 10-K”). The 2017 10-K disclosed an SEC probe into documents related to the IPO and acquisition of Ziddu.com. Further on April 2, 2018, The Wall Street Journal published the article, “Up-and-Down IPO Longfin Is Facing an SEC Probe,” which discussed the SEC’s investigation into Longfin. Following this news, shares of Longfin fell $4.42 per share, or over 30.88%, to close at $9.89 per share on April 3, 2018.
Shareholders who wish to discuss this action or request additional information about the lawsuit are encouraged to contact Kessler Topaz Meltzer & Check attorneys James Maro, Jr., or Adrienne Bell at (888) 299-7706 or online at: https://www.ktmc.com/new-cases/longfin-corp#join
Longfin shareholders may, no later than June 4, 2018, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, or other counsel, or may choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. In order to be appointed as a lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, please visit www.ktmc.com.