Cincinnati, Ohio (PRWEB) August 15, 2012
The law firm of Statman, Harris & Eyrich, LLC announces that a securities class action lawsuit has been filed on behalf of shareholders of Green Dot Corporation (“Green Dot” or the “Company”) common stock during the period January 26, 2012 and July 26, 2012 (the “Class Period”). The complaint, filed by another law firm on July 27, 2012 and pending before the United States District Court for the Central District of California (Case No. CV 12-6492) (the “Complaint”), alleges violations of the Securities Exchange Act of 1934 and was brought against the Company and certain of its officers and directors.
The Complaint alleges that defendants made false statements and failed to disclose the following material adverse facts: (i) the Company’s growth in new account activations was negatively impacted by the Company’s new internal risk policies and procedures; (ii) certain of Green Dot’s retailers were planning to begin selling competitive General Purpose Reloadable cards in addition to the Company’s products; (iii) the Company lacked historical data to predict how other retailers’ sales of competitive General Purpose Reloadable cards would impact Green Dot; and (iv) defendants’ positive statements about the Company’s business and revenue outlook for 2012 lacked a reasonable basis.
According to court documents, Green Dot disclosed on July 26, 2012 that it was updating its previously issued outlook for the remainder of 2012 to reflect the impact of competition and new internal risk policies and controls, and as a result of this news, shares of the Company’s stock fell from $14.26 to $9.06 per share on July 27, 2012.
Shareholders of Green Dot during the Class Period who wish to discuss this action or have questions concerning your rights are encouraged to contact Jeffrey P. Harris, Esq. at (513) 345-8181 or at jharris(at)statmanharris(dot)com for further information without any obligation or cost. You must move the Court no later than September 25, 2012 if you wish to serve as lead plaintiff and act on behalf of other class members in directing the litigation. However, you do not need to take any action at this time to be a class member, and you may retain counsel of your choice.
Statman, Harris & Eyrich, LLC, which has significant experience in consumer and securities fraud class actions and derivative litigation, has offices in Chicago, Illinois; Cincinnati, Ohio; Dayton, Ohio; and Sarasota, Florida. http://www.statmanharris.com Attorney advertising. Prior results do not guarantee similar outcomes.
Statman, Harris & Eyrich, LLC
Jeffrey P. Harris, Esq.
441 Vine Street, Suite 3700
Cincinnati, Ohio 45202
Phone: (513) 345-8181