Securities & Investment Fraud

World Wrestling Entertainment, Inc. Securities Class Litigation

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Introduction

Securities class action litigation has been filed on behalf of investors in the securities of World Wrestling Entertainment, Inc. (“WWE” or the “Company”) (NYSE: WWE).  If you purchased or otherwise acquired the securities of WWE between February 7, 2019 and February 5, 2020, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than May 5, 2020.

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action.  Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market.  We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

WWE investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the WWE Securities Class Litigation

WWE, headquartered in Stamford, Connecticut, is a leading provider of wrestling entertainment.  Prior to the Class Period, WWE entered into strategic relationships with the Kingdom of Saudi Arabia, including a multi-year television distributions rights agreement with a Saudi-controlled broadcaster, OSN, and a partnership to host live wrestling events in the country.  The strategic relationships were important to WWE’s growth prospects and financial success as the Company experienced a declining fan base and deteriorating market in the U.S.  WWE, however, faced significant public criticism for pursuing business with the Saudis in light of the country’s history of human rights abuses and autocratic policies of its ruling royal family.  Unbeknownst to investors, a series of negative developments, including the October 2018 murder of journalist Jamal Khashoggi widely believed to have been directed by the Saudi government, created tensions between the government and WWE that jeopardized the success of their business relationship.

On April 25, 2019, the Company disclosed disappointing financial results for the first quarter of 2019 and weak guidance which analysts believed were related potential issues in the Company’s dealings with the Saudis. On this news, the price of WWE Class A common stock fell $13.12 per share, or approximately 13%, to close at $85.38 per share on April 25, 2019, on unusually high trading volume.

On October 31, 2019, WWE announced disappointing financial results for the third quarter of 2019 and that the media rights deal with the Saudis had been indefinitely delayed.  In addition, the Saudi government reportedly had withheld tens of millions of dollars in payments owed to WWE.  As the dispute escalated, WWE decided to cut a broadcasting feed of a live event held in Saudi Arabia, to which the Saudi government responded by temporarily refusing to allow several WWE wrestlers to leave the country.  On this news, the price of WWE stock declined $10.40 per share, or approximately 15%, to close at $56.04 per share on October 31, 2019, on unusually high trading volume.

Then on January 30, 2020, in a startling turn of events, WWE announced that its co-presidents unexpectedly left the Company.  On this news, the price of WWE stock declined $13.42 per share, or nearly 22%, to close at $48.88 per share on January 31, 2020, on elevated trading volume.

Shortly thereafter, on February 6, 2020, WWE announced disappointing financial results for the fourth quarter of 2019 and weak guidance due to the Company’s failure to secure a favorable broadcasting deal with the Saudis and revealed that the prospective media rights agreement with the Saudis had been excluded from WWE’s guidance. On this news, the price of WWE stock declined another $4.50 per share, or 9%, to close at $44.50 per share on February 6, 2020, on unusually high trading volume.

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II.TRANSACTIONS IN WWE SECURITIES

Number of shares of WWE securities held immediately before the start of Class Period on February 7, 2019:

Between February 7, 2019 and February 5, 2020, inclusive, I made the following transactions in WWE securities:

PURCHASES

Date
No. of Shares
Price

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SALES

Date
No. of Shares
Price

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During the 90 days after February 5, 2020, I made the following transactions in WWE securities:

PURCHASES

Date
No. of Shares
Price

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SALES

Date
No. of Shares
Price

show more rows

Comments & questions:

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About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years.  In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.”  Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.”  In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”

Aaron’s, Inc., Securities Class Litigation

Securities Fraud Litigation

Introduction

Securities class action litigation has been filed on behalf of investors in the securities of Aaron’s, Inc. (“Aaron’s” or the “Company”) (NYSE: AAN).  If you purchased or otherwise acquired the securities of Aaron’s between March 2, 2018 and February 19, 2020, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than April 28, 2020. 

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action.  Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market.  We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

Aaron’s investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should use the form below or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the Aaron’s Securities Class Litigation

Aaron’s, headquartered in Atlanta, Georgia, operates as a provider of lease-purchase solutions to underserved and credit-challenged customers.

The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose: (1) that Aaron’s had disclosure controls, procedures, and compliance measures which were inadequate; (2) that as a result, the operations of Aaron’s Progressive and AB segments were in violation of the Federal Trade Commission (“FTC”) Act and/or relevant FTC regulations; (3) that, consequently, the Company’s earnings from those segments were derived in part from unlawful and therefore unsustainable business practices; and (4) the full scope of Aaron’s liability regarding the FTCs investigation into its Progressive and AB segments, the Company’s noncompliance with the FTC Act, and the likely negative consequences of all the foregoing on the Company’s financial results.

On July 26, 2018, after markets closed, Aaron’s disclosed that, in July 2018, the Company received civil investigative demands (“CID”) from the FTC requesting Aaron’s produce documents and answers to written questions to determine whether disclosures related the Company’s financial products offered through its AB and Progressive segments had violated the FTC Act.  On this news, the price of Aaron’s stock fell $5.38 per share, or 11.01%, from its closing price of $48.85 on July 16, 2018, to close at $43.47 per share on July 27, 2018, on elevated trading volume.

On February 20, 2020, Aaron’s announced that the Company’s Progressive segment had reached an agreement in principle with FTC staff concerning the CID.  Aaron’s revealed that “[u]nder the proposed agreement, which requires final approval by FTC Commissioners and the U.S. District Court for the Northern District of Georgia, Progressive will make a payment of $175 million and enhance certain compliance-related activities, including monitoring, disclosure and reporting requirements.”  On this news, the price of Aaron’s stock dropped $10.70 per share, or 19.06%, from its closing price of $55.93 on February 19, 2020, to close at $45.45 per share on February 20, 2020, on extremely heavy trading volume.

The next day, Aaron’s announced a second settlement with the FTC with respect to its anticompetitive activities with competing companies between June 2015 and May 2018 that led to reduced competition and quality and service at the companies’ stores.   On this news, the price of Aaron’s stock fell another $2.12 per share, or 4.6%, from its closing price of $45.45 on February 20, 2020, to close at $43.33 on February 21, 2020, on heavy trading volume.

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II.TRANSACTIONS IN AARON'S SECURITIES

Number of shares of Aaron's securities held immediately before the start of Class Period on March 2, 2018:

From March 2, 2018 to February 2, 2020, inclusive, I made the following transactions in Aaron's securities:

PURCHASES

Date
No. of Shares
Price

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SALES

Date
No. of Shares
Price

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During the 90 days after February 2, 2020, I made the following transactions in Aaron's securities:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

show more rows

Comments & questions:

Please sign me up for your Consumer Law newsletter. Yes


About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” Benchmark Litigation has named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”

 

Six Flags Securities Class Litigation

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Introduction

Class action litigation has been filed on behalf of investors who purchased the common stock of Six Flags Entertainment Corporation (“Six Flags” or the “Company”) between April 25, 2018 and January 9, 2020, inclusive (the “Class Period”). If you purchased Six Flags stock during this period, you may move the court for appointment as lead plaintiff by no later than April 13, 2020.

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action. Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market. We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

Six Flags investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should use the contact form below or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the Six Flags Entertainment Corporation Securities Class Litigation

Six Flags, incorporated in Delaware and headquartered in Grand Prairie, Texas, is the largest regional theme park operator in the world, with 26 parks across North America.

The complaint alleges that throughout the Class Period, defendants made false and misleading statements to investors regarding the Company’s business, operations, and growth prospects in connection with its agreements with Riverside Investment Group Co. Ltd. (“Riverside”), a real estate developer, to develop Six Flags-branded theme parks in China. Further, defendants misled investors by assuring that delays in developing the parks were “short term,” that the problems were “not material in the context of long-term opportunity,” and that Riverside was in “great shape” financially.

The truth about defendants’ fraud began to emerge on February 14, 2019, when Six Flags announced a negative $15 million revenue adjustment for fourth quarter of 2018 as a result of delays in the opening of multiple parks in China, which the Company falsely attributed to macroeconomic issues in China. On this news, the Company’s stock price fell $9.00 per share, or over 14%, from its closing price on February 13, 2019 to close at $54.87 per share on February 14, 2019, on unusually heavy trading volume.

On October 23, 2019, the Company again announced delays in its park openings in China. In addition, Six Flags reported a 26% drop in international agreements, sponsorship and accommodations revenue for the third quarter of 2019 compared to the third quarter of 2018. On these disclosures, Six Flags’s stock price fell $6.35 per share, or 12.4%, from its closing price on October 22, 2019 to close at $44.88 per share on October 23, 2019.

On January 10, 2020, Six Flags revealed that it continued to encounter challenges in the development of its parks in China, that Riverside had defaulted on its payment obligations to Six Flags, and that the Company would realize no revenue from its agreements with Riverside in the fourth quarter 2019 and expected a negative $1 million revenue adjustment in connection with those agreements. Six Flags also disclosed approximately $10 million in charges related to Riverside’s default. On this news, Six Flags’s stock price fell $7.80 per share, or approximately 17.8%, from its closing price of $43.76 on January 10, 2020 to close at $35.96 per share the next day, January 11, 2020.

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II. TRANSACTIONS IN SIX FLAGS COMMON STOCK

Number of shares of Six Flags stock held immediately before the start of Class Period on April 24, 2018:

From April 25, 2018 and January 9, 2020 inclusive, I made the following transactions in Six Flags common stock::

PURCHASES

Date
No. of Shares
Price

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SALES

Date
No. of Shares
Price

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During the 90 days after July 25, 2019, I made the following transactions in Six Flags common stock:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

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Comments & questions:

Please sign me up for your Consumer Law newsletter. Yes


About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”

Geron Corporation, Securities Class Litigation

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Introduction

Class action litigation has been filed on behalf of investors who purchased the common stock of Geron Corporation (“Geron” or the “Company”) (NASDAQ: GERN) between March 19, 2018 and September 26, 2018, inclusive (the “Class Period”). If you purchased Geron common stock between March 19, 2018 and September 26, 2018, you may move the court for appointment as lead plaintiff by no later than March 23, 2020.

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action.  Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market.  We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

Geron investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the Geron Corporation Securities Class Litigation

Geron, incorporated and headquartered in Menlo Park, California, is a biopharmaceutical company.

The complaint alleges that throughout the Class Period, Defendants misled investors regarding the results of a clinical study of a bone cancer treatment drug named imetelstat, and, as a result, Defendants’ statements about Geron’s business and prospects were materially false and misleading.  The study, named “IMbark,” was designed to evaluate whether imetelstat benefited patients diagnosed with myelofibrosis cancer. Geron developed imetelstat in partnership with Janssen Biotech, Inc. (“Janssen”).

The truth about Defendants’ fraudulent scheme began to emerge on March 27, 2018 when a biotechnology sector journalist published an article claiming Geron’s and its CEO’s prior statements to investors that imetelstat improved myelofibrosis patients’ survival rate were materially false and misleading.  Following this news, the price of Geron stock, which had closed at $5.98 per share on March 26, 2018, fell 29% over the next two days to close at $4.23 per share on March 28, 2018.

On September 27, 2018, Geron announced disappointing results from the IMbark study showing that patients had shown only 10% spleen volume reduction and only a 32% reduction in symptom response rate.  In addition, Geron disclosed that Janssen had ended its partnership with Geron for the development of imetelstat.  In response to this news, Geron’s stock price plummeted from $6.23 per share to $2.31 per share the next day, a decrease of over 62%.

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II.TRANSACTIONS IN GERON COMMON STOCK

Number of shares of Geron stock held immediately before the start of Class Period on March 19, 2018:

From March 19, 2018 and September 26, 2018 inclusive, I made the following transactions in Geron common stock:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

show more rows

During the 90 days after September 26, 2018, I made the following transactions in Geron common stock:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

show more rows

Comments & questions:

Please sign me up for your Consumer Law newsletter. Yes


About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years.  In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.”  Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.”  In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”

Mohawk Industries, Inc., Securities Class Litigation

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Introduction

Class action litigation has been filed on behalf of investors who purchased or otherwise acquired the common stock of Mohawk Industries, Inc. (“Mohawk” or the “Company”) (NYSE: MHK).  If you purchased or otherwise acquired Mohawk common stock between April 28, 2017 and July 25, 2019, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than March 3, 2020.

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the action.  Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market.  We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

Mohawk investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff should click here or contact Sharon M. Lee of Lieff Cabraser toll-free at 1-800-541-7358.

Background on the Mohawk Industries, Inc., Securities Class Litigation

Mohawk, incorporated and headquartered in Calhoun, Georgia, is a global manufacturer of flooring products, including ceramic and porcelain tile and natural stone products, carpets, rugs, laminate, hardwood flooring, sheet vinyl, and luxury vinyl tile, or LVT.

The complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that Mohawk engaged in a scheme to inflate its revenues and earnings by stuffing the channel with its conventional flooring products and booking fictitious sales of those products. Defendants made false and misleading statements about Mohawk’s sales growth and the demand for its conventional flooring products. Defendants also reassured investors about Mohawk’s increasing accounts receivable and inventory levels by falsely attributing those increases to market factors including rising raw material costs and inflation.

The truth about Defendants’ fraudulent scheme was revealed beginning on July 25, 2018, when the Company reported disappointing financial results well below its previous guidance and Wall Street estimates. The Company also announced that it would be reducing production, which indicated that its sales channels were stuffed with more product than it was able to sell. Following this news, Mohawk’s stock price declined $38.06 per share, or 17%, from its closing price on July 25, 2018 to close at $179.31 on July 26, 2018.

On October 25, 2018, Mohawk reported its financial results for the third quarter of 2018 that was well below analysts’ estimates.  Mohawk executives attributed the disappointing results, in part, to further manufacturing reductions that were required to control inventory buildup. On this news, the Company’s stock price fell $36.03 per share, or 23.9%, from its closing price on October 25, 2018 to close at $115.03 per share on October 26, 2018.

On July 26, 2019, Mohawk reported that it was again reducing production to control inventory levels so that supply matched customer demand. Following this news, the price of Mohawk stock fell nearly 18% to close at $128.84 on July 26, 2019.

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II. TRANSACTIONS IN MOHAWK COMMON STOCK

Number of shares of Mohawk stock held immediately before the start of Class Period on April 28, 2017:

From April 28, 2017 and July 25, 2019, inclusive, I made the following transactions in Mohawk common stock:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

show more rows

During the 90 days after July 25, 2019, I made the following transactions in Mohawk common stock:

PURCHASES

Date
No. of Shares
Price

show more rows

SALES

Date
No. of Shares
Price

show more rows

Comments & questions:

Please sign me up for your Consumer Law newsletter. Yes


About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years.  In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.”  Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.”  In late 2016, Benchmark Litigation named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America.”

Wells Fargo & Company Shareholder Derivative Litigation

Securities and Financial Fraud

Lieff Cabraser serves as Co-Lead Counsel for the Fire and Police Pension Association of Colorado, which along with the City of Birmingham Retirement and Relief System, are court-appointed Co-Lead Plaintiffs in this consolidated shareholder derivative action.  Co-Lead Plaintiffs allege that, since at least 2011, the Board and executive management of Wells Fargo & Company (“Wells Fargo”) knew or consciously disregarded that Wells Fargo employees were illicitly creating millions of deposit and credit card accounts for their customers, without those customers’ consent, in an attempt to drive up “cross-selling,” i.e., selling complementary Wells Fargo banking products to prospective or existing customers.

Revelations regarding the scheme, and the defendants’ knowledge or blatant disregard of it, have deeply damaged Wells Fargo’s reputation and cost it millions of dollars in regulatory fines and lost business. In May 2017, the court largely denied defendants’ motion to dismiss Co-Lead Plaintiffs’ amended complaint.  In October 2017, the court again denied a second round of motions to dismiss the amended complaint.

A proposed $320 million settlement (the “Settlement”) has been reached in this derivative action.  On February 28, 2019, Co-Lead Plaintiffs filed a motion for preliminary approval of the Settlement. The benefits to Wells Fargo of the proposed Settlement include (i) monetary consideration of $240 million paid to Wells Fargo by the defendants’ insurers; (ii) agreement and acknowledgement that facts alleged in the derivative action were a significant factor in causing certain corporate governance changes undertaken by Wells Fargo, which include improvement to Wells Fargo’s internal controls, internal reporting, and expanded and enhanced oversight of risk management by the Board of Directors (the “Corporate Governance Reforms”); and (iii) agreement and acknowledgement that facts alleged in the derivative action were a significant factor in causing certain remedial steps with respect to compensation reductions and forfeitures undertaken by Wells Fargo (the “Clawbacks”).  As part of the Settlement, the parties agreed that the Corporate Governance Reforms and the Clawbacks have a value to Wells Fargo of $80 million, for a total Settlement value to Wells Fargo of $320 million.

On May 14, 2019, the court preliminarily approved the proposed Settlement.  The proposed Settlement is subject to final court approval, and a final fairness hearing will be held on August 1, 2019, at 2:00 p.m., before the Honorable Jon S. Tigar, United States District Judge, at the United States District Court for the Northern District of California, 450 Golden Gate Avenue, San Francisco, California 94102.  For more information on the Wells Fargo Derivative Settlement, please visit www.wellsfargoderivativesettlement.com.

The case is In re Wells Fargo & Company Shareholder Derivative Litigation, No. 3:16-cv-05541 (N.D. Cal.).

Important Documents Related to the Case

Notice

Settlement Agreement

Preliminary Approval

Final Approval

Key Case Filings

 

BofI Holding, Inc. Securities Class Litigation

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Lieff Cabraser serves as lead counsel for court-appointed lead plaintiff, Houston Municipal Employees Pension System (“HMEPS”), in this securities fraud class action against BofI Holding, Inc. and certain of its senior officers. The action charges defendants with issuing materially false and misleading statements and failing to disclose material adverse facts about BofI’s business, operations, and performance.

In September 2016, the court largely denied defendants’ motion to dismiss the consolidated amended complaint. Plaintiff filed a second amended complaint in November 2016 in order to remedy the few claims that had been dismissed. In May 2017, the court denied in significant part defendants’ motion to dismiss that complaint.

The case is Houston Municipal Employees Pension System v. BofI Holding, Inc., et al., No. 3:15-cv-02324 (S.D. Cal.). A copy of the consolidated amended complaint is available here.

If you would like more information about the litigation, or have information relevant to the lawsuit, please use the form below or contact Richard Texier of Lieff Cabraser toll-free at 1-800-541-7358 or at rtexier@lchb.com.

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We produce a free e-mail Civil Justice Newsletter three to four times a year, and distribute it to persons who have contacted us and wish to receive the newsletter.

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About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for fourteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Best Lawyers and U.S. News named Lieff Cabraser as a “Law Firm of the Year” for 2016, and Benchmark Litigation included our firm in its 2016 “Top 10 Plaintiffs Firms” listing.

Petrobras Securities Litigation

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Janus Overseas Fund, et al. v. Petróleo Brasileiro S.A. – Petrobras, et al., No. 1:15-cv-10086-JSR (S.D.N.Y.); Dodge & Cox Global Stock Fund, et al. v. Petróleo Brasileiro S.A. – Petrobras, et al., No. 1:15-cv-10111-JSR (S.D.N.Y.).

Lieff Cabraser represented several funds managed by Janus and several funds managed by Dodge & Cox in individual securities cases arising from the massive fraud at Petrobras, a state-run semi-public energy and oil-production company headquartered in Rio de Janeiro, Brazil. Plaintiffs sought recovery under the federal securities laws for damages they suffered on transactions in Petrobras securities during the period December 29, 2010 through July 28, 2015 (the “Relevant Period”), due to a pervasive and long-running scheme of bribery and corruption at Petrobras.

Plaintiffs alleged that beginning around 2005 and continuing through the Relevant Period, the Company engaged in a scheme whereby contractors paid bribes to Petrobras executives and others in exchange for the award of lucrative oil and gas construction contracts. Some of the bribes were passed on to Brazilian politicians and political parties. The Company then paid the contractors inflated amounts under the contracts in order to repay them for the bribes. When the fraud was finally revealed beginning in May 2014, it sent shockwaves through the Brazilian government and economy, and caused Petrobras’s market capitalization to plummet. Authorities estimate the scheme has diverted up to, or more than, $28 billion from the Company’s coffers.

Lieff Cabraser’s cases were part of consolidated proceedings before Judge Jed S. Rakoff in the Southern District of New York. The parties reached settlements in the cases in October of 2016.

Flotek Industries, Inc. Securities Class Litigation

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Introduction

Securities fraud class action litigation has been filed on behalf of investors in Flotek Industries, Inc. (“Flotek” or the “Company”) (NYSE: FTK). If you purchased or otherwise acquired the securities of Flotek between October 23, 2014 and November 19, 2015, inclusive (the “Class Period”), you may move the court for appointment as lead plaintiff by no later than January 11, 2016.

You may retain Lieff Cabraser Heimann & Bernstein, LLP, or other attorneys, as your counsel in the actions. Recognized by the National Law Journal as one of the nation’s top plaintiffs’ law firms, Lieff Cabraser is committed to safeguarding the rights of investors and upholding the integrity of the market. We have significant experience and a successful track record of representing institutional and individual investors in securities and financial fraud litigation.

Flotek investors may choose to have Lieff Cabraser review their claim by completing the contact form below. You can also call Sharon M. Lee of Lieff Cabraser at 1-800-541-7358 to discuss the litigation.

Background on the Flotek Class Litigation

Flotek is a global diversified, technology-driven company that develops and supplies oilfield products, services and equipment to the oil, gas and mining industries, and other products that are sold in consumer and industrial markets.

The actions allege that, throughout the Class Period, defendants issued materially false and misleading statements to investors and/or failed to disclose that: (1) Flotek’s proprietary software application FracMax had data and process errors; (2) the reported production data from FracMax for three of the wells in the Company’s New York City Investor Presentation on September 11, 2015 were inaccurate; and (3) an application from the Company claiming to be FracMax available in the Apple iTunes Store does not work.

On November 9, 2015, the firm Bronte Capital published a report on Flotek asserting, among other things, that: (1) the production data of four proximate wells in Texas set forth in Flotek’s September 11, 2015 presentation to investors did not match the data of the Texas Railroad Commission; and (2) a version of FracMax available in the Apple iTunes Store does not work. On this news, the price of Flotek shares fell $3.50 per share, or 19.34%, from its closing price on November 6, 2015 to close at $14.60 per share on the next trading day, November 9, 2015, on extremely heavy trading volume.

On November 10, 2015, the Company issued a press release acknowledging data and process errors in its FracMax database and the understatement of production data in Company’s presentation on September 11, 2015. On this news, the price of Flotek shares fell $5.56 per share, or 38.1%, from its closing price on November 9, 2015, to close at $9.04 per share on November 10, 2015, on extremely heavy trading volume.

About Lieff Cabraser

Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, and and Nashville, is a nationally recognized law firm committed to advancing the rights of investors and promoting corporate responsibility.

The National Law Journal has recognized Lieff Cabraser as one of the nation’s top plaintiffs’ law firms for thirteen years. In compiling the list, the National Law Journal examines recent verdicts and settlements and looked for firms “representing the best qualities of the plaintiffs’ bar and that demonstrated unusual dedication and creativity.” Best Lawyers and U.S. News have named Lieff Cabraser as a “Law Firm of the Year” for each year the publications have given this award to law firms.

National Century Financial Enterprises Financial Fraud

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Result: Settlements valued at over 70% of client’s $89 million in losses
Year: 2011

In re National Century Financial Enterprises, Inc. Investment Fraud Litigation

Lieff Cabraser attorneys Steven E. Fineman and Michael J. Miarmi served as outside counsel for the New York City Employees’ Retirement System, Teachers’ Retirement System for the City of New York, New York City Police Pension Fund, and New York City Fire Department Pension Fund in this multidistrict litigation arising from fraud in connection with NCFE’s issuance of notes backed by healthcare receivables.

The New York City Pension Funds suffered approximately $89 million in losses resulting from the massive NCFE fraud. Having successfully resolved their claims against numerous parties, the Funds maintain claims against several NCFE founders. To date, the Funds have recovered approximately 70% of their losses, primarily through settlements achieved on their behalf by Lieff Cabraser.

Qwest Communications International Direct Securities Fraud Litigation

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Result: Recoveries for clients in direct action were 13 times what they would have received in class case
Year: 2007

In re Qwest Communications International, Inc. Securities Fraud and “ERISA” Litigation (No. II)

Lieff Cabraser represented the New York State Common Retirement Fund, Fire and Police Pension Association of Colorado, Denver Employees’ Retirement Plan, San Francisco Employees’ Retirement System, and over thirty BlackRock managed mutual funds in individual securities fraud actions (“opt out” cases) against Qwest Communications International, Inc., Philip F. Anschutz, former co-chairman of the Qwest board of directors, and other senior executives at Qwest.

In each action, the plaintiffs charged defendants with massively overstating Qwest’s publicly-reported growth, revenues, earnings, and earnings per share from 1999 through 2002. The cases were filed in the wake of a $400 million settlement of a securities fraud class action against Qwest that was announced in early 2006.

The cases brought by Lieff Cabraser’s clients settled in October 2007 for recoveries totaling more than $85 million, or more than 13 times what the clients would have received had they remained in the class.

Alex Brown Management Services Securities Fraud Lawsuits

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Result: Confidential settlement
Year: 2006

Albert, et al. v. Alex. Brown Management Services, Inc., et al.; Baker, et al. v. Alex. Brown Management Services, Inc., et al. Securities Fraud Litigation

In May 2004, on behalf of investors in two investment funds controlled, managed and operated by Deutsche Bank and advised by DC Investment Partners, Lieff Cabraser filed lawsuits for alleged fraudulent conduct that resulted in an aggregate loss of hundreds of millions of dollars.

The suits named as defendants Deutsche Bank and its subsidiaries Alex Brown Management Services and Deutsche Bank Securities, members of the funds’ management committee, as well as DC Investments Partners and two of its principals. Among the plaintiff-investors were 70 high net worth individuals. In the fall of 2006, the cases settled by confidential agreement.

Bank of America Merrill Lynch Merger Securities Cases

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Result: Confidential settlement
Year: 2013

In two cases — DiNapoli, et al. v. Bank of America Corp., No. 10 CV 5563 (S.D.N.Y.) and Schwab S&P 500 Index Fund, et al. v. Bank of America Corp., et al., No. 11-cv- 07779 PKC (S.D.N.Y.) — Lieff Cabraser sought recovery on a direct, non-class basis for losses that a number of public pension funds and mutual funds incurred as a result of Bank of America’s alleged misrepresentations and concealment of material facts in connection with its acquisition of Merrill Lynch & Co., Inc.

Lieff Cabraser represented the New York State Common Retirement Fund, the New York State Teachers’ Retirement System, the Public Employees’ Retirement Association of Colorado, and fourteen mutual funds managed by Charles Schwab Investment Management. Both cases settled in 2013 on confidential terms favorable for our clients.

AOL Time Warner Alaska Attorney General Securities Fraud Class Action

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Result: Clients recovered 50 times what they would have received in a class case
Year: 2006

Alaska State Department of Revenue, et al. v. America Online, Inc., et al. Securities Fraud Litigation

In December 2006, a $50 million settlement was reached in a securities fraud action brought by the Alaska State Department of Revenue, Alaska State Pension Investment Board and Alaska Permanent Fund Corporation against defendants America Online, Inc. (“AOL”), Time Warner Inc. (formerly known as AOL Time Warner (“AOLTW”)), and Historic TW Inc. When the action was filed, the Alaska Attorney General estimated total losses at $70 million.

The recovery on behalf of Alaska was approximately 50 times what the state would have received as a member of the class in the federal securities class action settlement. The lawsuit, filed in 2004 in Alaska State Court, alleged that defendants misrepresented advertising revenues and growth of AOL and AOLTW along with the number of AOL subscribers, which artificially inflated the stock price of AOL and AOLTW to the detriment of Alaska State funds.

The Alaska Department of Law retained Lieff Cabraser to lead the litigation efforts under its direction. “We appreciate the diligence and expertise of our counsel in achieving an outstanding resolution of the case,” said Mark Morones, spokesperson for the Department of Law, following the announcement of the settlement.

Brooks Automation, Inc.

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Result: $7.75 million settlement
Year: 2008

In re Brooks Automation, Inc. Securities Fraud Litigation

Lieff Cabraser served as Court-Appointed Lead Counsel for lead plaintiff the Los Angeles County Employees Retirement Association and co-plaintiff the Sacramento County Employees’ Retirement System in a class action lawsuit on behalf of purchasers of Brooks Automation securities.

Plaintiffs charged that Brooks Automation and its senior corporate officers and directors violated federal securities laws by backdating company stock options over a six year period, and failed to disclose the scheme in publicly filed financial statements. Subsequent to Lieff Cabraser’s filing of a consolidated amended complaint in this action, both the Securities and Exchange Commission and the United States Department of Justice filed complaints against the Company’s former C.E.O., Robert Therrien, related to the same alleged practices.

In October 2008, the Court approved a $7.75 million settlement of the action.

FundAmerica

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Result: $13 million settlement
Year: 1990

Nguyen v. FundAmerica Securities Fraud Litigation

Lieff Cabraser served as Plaintiffs’ Class Counsel in this securities/RICO/tort action seeking an injunction against alleged unfair “pyramid” marketing practices and compensation to participants.

The District Court certified a nationwide class for injunctive relief and damages on a mandatory basis and enjoined fraudulent overseas transfers of assets. The Bankruptcy Court permitted class proof of claims. Lieff Cabraser obtained dual District Court and Bankruptcy Court approval of settlements distributing over $13 million in FundAmerica assets to class members.

Network Associates

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Result: $30 million settlement
Year: 2001

In re Network Associates, Inc. Securities Fraud Litigation

Following a competitive bidding process, the Court appointed Lieff Cabraser as Lead Counsel for the Lead Plaintiff and the class of investors. The complaint alleged that Network Associates improperly accounted for acquisitions in order to inflate its stock price. In May 2001, the Court granted approval to a $30 million settlement.

In reviewing the Network Associates settlement, U.S. District Court Judge William H. Alsup observed,

[T]he class was well served at a good price by excellent counsel … We have class counsel who’s one of the most foremost law firms in the country in both securities law and class actions. And they have a very excellent reputation for the conduct of these kinds of cases and their experience and views…

Media Vision

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Result: $31 million settlement
Year: 2003

In re Media Vision Technology Securities Fraud Litigation

Lieff Cabraser served as Co-Lead Counsel in a class action lawsuit which alleged that certain Media Vision officers, outside directors, accountants, and underwriters engaged in a fraudulent scheme to inflate the company’s earnings, and issued false and misleading public statements about the company’s finances, earnings and profits.

By 1998, the Court had approved several partial settlements with many of Media Vision’s officers and directors, accountants and underwriters which totaled $31 million. The settlement proceeds have been distributed to eligible class members. The evidence that Lieff Cabraser developed in the civil case led prosecutors to commence an investigation and ultimately file criminal charges against Media Vision’s former Chief Executive Officer and Chief Financial Officer.

The civil action against Media Vision’s CEO and CFO was stayed pending the criminal proceedings against them. In the criminal proceedings, the CEO pled guilty on several counts, and the CFO was convicted at trial. In October, 2003, the Court granted Plaintiffs’ motions for summary judgment and entered a judgment in favor of the class against these two defendants in the amount of $188 million.

California Micro Devices

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Result: $31 million settlement
Year: 2001

In re California Micro Devices Securities Fraud Litigation

Lieff Cabraser served as Liaison Counsel for the Colorado Public Employees’ Retirement Association and the California State Teachers’ Retirement System, and the class they represented.

Prior to 2001, the Court approved $19 million in settlements. In May 2001, the Court approved an additional settlement of $12 million, which, combined with the earlier settlements, provided class members an almost complete return on their losses.

The settlement with the company included multi-million dollar contributions by the former Chairman of the Board and Chief Executive Officer.

Commenting in 2001 on Lieff Cabraser’s work in Cal Micro Devices, U.S. District Court Judge Vaughn R. Walker stated,

It is highly unusual for a class action in the securities area to recover anywhere close to the percentage of loss that has been recovered here, and counsel and the lead plaintiffs have done an admirable job in bringing about this most satisfactory conclusion of the litigation.

One year later, in a related proceeding and in response to the statement that the class had received nearly a 100% recovery, Judge Walker observed,

That’s pretty remarkable. In these cases, 25 cents on the dollar is considered to be a magnificent recovery, and this is [almost] a hundred percent.

FPI/Agretech

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Result: $32 million settlement
Year: 1994

In re FPI/Agretech Securities Fraud Litigation

We served as Lead Class Counsel for investors defrauded in a “Ponzi-like” limited partnership investment scheme. The Court approved $15 million in partial, pretrial settlements.

At trial, the jury returned a $24 million verdict, which included $10 million in punitive damages, against non-settling defendant Arthur Young & Co. for its knowing complicity and active and substantial assistance in the marketing and sale of the worthless limited partnership offerings.

The appellate court affirmed the compensatory damages award and remanded the case for a retrial on punitive damages. In 1994, the Court approved a $17 million settlement with Ernst & Young, the successor to Arthur Young & Co.