Securities class action lawsuits resulted in $7.6B settlements in 2022, with huge payouts from Twitter, Teva, Facebook, and Blackberry.

Investors recovered $7.6B in 2022 | How to Fight Losses Back

Investors Around The Globe Recovered $7.6B in 2022 | How to Fight Losses Back?

Public

On November 16, 2021, Bloomberg published an article detailing how Archegos built up a previously undisclosed position equal to 20% of Texas Capital prior to the margin calls that forced Archegos' liquidation. According to the article, Texas Capital was aware of the large position held by Archegos while it raised additional capital from investors in February 2021.

Earlier, on March 29, 2021, shares of $TCBI dropped 13% as prime brokers associated with the now-defunct family office, Archegos Capital Management, unwound large U.S. stock positions linked to the fund.

Taking all facts into account, Investors may have reasons to suspect that their rights could be grossly violated.

Texas Capital Bancshares Inc

Misleading Statements

Fraud

Failure to Disclose

Negligence

Omissions

Directors

Management

Shareholder

Service Provider

Hedge Fund

Texas Capital Bancshares (TCBI) Securities Fraud Case Investigation

tcbi-investor-case

Stocks

Long

Wells Fargo (WFC) agreed to pay $300'000'000 to settle a securities class action lawsuit to avoid further litigation.

The Complaint alleged that the Company and its Leaders knowingly concealed and made false statements about Collateral Protection Insurance and Guaranteed Asset Protection insurance, allegedly in violation of the Securities Exchange Act of 1934. 

The Complaint further alleged that the omissions and false and misleading statements artificially inflated the price of Wells Fargo’s common stock (WFC) and that, when the Company disclosed the true facts, Wells Fargo’s stock price dropped.

Wells Fargo & Company

Wells Fargo (WFC) $300 MM Securities Settlement

wells-fargo-300-million-settlement

Lidwave accused Luminar of attempting to pass off a Lidwave PIC as Luminar’sown technology.

Investors suspect Luminar of misleading which led to investment losses for shareholders.

On March 17, 2023, Forbes reported that the semiconductor developer Lidwave had accused Luminar (LAZR) of attempting to pass off a Lidwave PIC as Luminar’sown technology after showing an image of the PIC at the Company’s Luminar Day investor conference and in materials on its website, threatening Luminar with legal action.

On this news, $LAZR declined by 9.09% over two consecutive trading days, damaging investors.

Taking revealed facts into account, Investors have to suspect Luminar and its Leaders of misleading and failing to disclose important information which led to investment losses for shareholders, specifically: 

Luminar had misappropriated an image of a competitor’s PIC to market the Company’s own products and capabilities;

the foregoing conduct subjected the Company to a heightened risk of, inter alia, litigation and/or regulatory enforcement action;

all the foregoing, once revealed, was likely to negatively impact Luminar’s business and reputation; and 

as a result, the Company’s public statements were materially false and misleading at all relevant times.

Luminar Technologies

Luminar (LAZR) Misconduct Lidwave Case 

luminar-investor-lawsuit

Cardinal Health (CAH) agreed to settle $109 million with Investors.

The action arose from the Company & its Leaders' alleged misrepresentations and omissions concerning Cardinal's integration of Cordis Corp. in 2015, a medical device manufacturer that Cardinal had purchased from Johnson & Johnson. There were also inventory and supply chain problems at Cordis.

The Complaint alleged that the Company & its Leaders misled investors by stating that Cordis would benefit from Cardinal's advanced inventory management and supply chain information technology solutions. Additionally, they falsely represented that the Company properly "reserve[d] for inventory obsolescence" and that "[i]nventories presented in the consolidated balance sheets [were] net of reserves for excess and obsolete inventory."

As a result of these misrepresentations, Cardinal's shares allegedly traded at artificially inflated prices.

Cardinal Health Inc

Other

Cardinal Health (CAH) Investors $109M Settlement

cardinal-health-investors-settlement

NextEra Energy disclosed CEO's departure & FPL's improper political conduct.

$NEE lost $18.63 billion of its market capitalization. 

Investors suspect  NextEra & its Leaders of misleading which led to investment damages for shareholders.

On January 25, 2023, NEE disclosed that Eric Silagy would no longer serve as CEO of FPL as of February 15, 2023.

On January 31, 2023, NEE acknowledged to Bank of America analysts that Silagy’s severance package included a unique clawback provision in case the Company needed to be compensated by Silagy for costs associated with “any legal wrongdoing”—tacitly acknowledging the link between Silagy’s conduct and the legal and reputational risk described in the January 25th 8-K. On this news, NEE’s stock dropped.

In total, over the course of the five trading days between January 25, 2023, when NEE announced Silagy’s abrupt departure and disclosed that FPL’s improper political conduct had exposed the Company to legal and reputational risks, and January 31, 2023, when NEE tacitly acknowledged the link between Silagy’s exit and the legal and reputational risks identified in the January 25, 2023 8-K, NEE’s stock plunged significantly wiping out $18.63 billion in market capitalization.

Taking all facts into account, Investors have reasons to suspect NextEra and its Leaders of misleading and failing to disclose important information to shareholders, specifically: 

FPL’s surreptitious orchestration of political misconduct exposed NEE to substantial legal and reputational risk; and 

Positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.

Nextera Energy Inc

NextEra Energy (NEE) Investor Case on Mislaeding

nee-investor-lawsuit

Grupo Televisa, S.A.B. (TV) settles $95M with Investors.

The complaint alleged that the Company & its Leaders made materially false and misleading statements about the Company's business, operations, and compliance policies, per the Complaint. It specifically claimed that the Defendants made false and/or misleading statements and/or failed to disclose that: 

Televisa executives had engaged in an unlawful bribery scheme with FIFA executives; 

if discovered, the aforementioned conduct would have subjected the Company to heightened regulatory scrutiny; 

the Company lacked effective internal controls over financial reporting;

As a result of the aforementioned, Televisa's ADRs traded at artificially inflated prices during the Class Period, causing class members to suffer significant losses and damages.

Grupo Televisa SAB ADR

Grupo Televisa, S.A.B. (TV) $95M Shareholder Settlement

tv-investor-settlement

Depository Securities (ADS, ADR, GDR)

Cutera reported disappointing financial results and announced several resignations.

Investors suspect Cutera & its Leaders of misleading and failing to disclose true material facts about the Company.

On May 9, 2023, Cutera reported disappointing financial results for Q1 2023 that were “below expectations due to execution challenges in the business” and announced that Rohan Seth had resigned as the company’s CFO. 

On this news, $CUTR declined 30%  over two trading sessions, seriously damaging investors.

On April 12, 2023, Cutera revealed that it had terminated Plants as the company’s Executive Chairman and Chairman of the Board and Mowry as CEO, appointing current Board members Janet D. Widmann and Sheila A. Hopkins as Independent Chair of the Board and Interim Chief Executive Officer, respectively. In connection with this announcement, Cutera also formally withdrew its full‑year 2023 financial guidance. On this news, the price of Cutera common stock declined more than 28%.

On April 10, 2023, Plants and David H. Mowry, the company’s CEO, issued statements in support of their separate demands calling for the Board to remove five of its directors. In connection with their demands, Plants, and Mowry cited concerns that the Board had not made progress on a succession plan for the role of CEO, and Mowry stated that “the approach the Entrenched Directors have taken to these matters has been detrimental to the business and served no purpose other than to position certain Directors closer to the CEO title that they seem to covet for themselves.”

On April 7, 2023, Cutera disclosed that the company’s Executive Chairman and Chairman of the Board, J. Daniel Plants, demanded a special meeting of the company’s stockholders to vote on the removal of five members of the Board.

On March 24, 2023, Cutera disclosed that Nasdaq notified the company that it was “not in compliance with Nasdaq Listing Rule 5250(c)(1)” for failing to timely file its 2022 annual financial report. On this news, the price of Cutera common stock declined  3.4%.

On March 16, 2023, Cutera announced that it would not meet the extended deadline for filing its 2022 annual report, and would endeavor to file its 2022 annual report “as soon as practicable.” The company also revealed that, in addition to the material weaknesses previously identified, Cutera had identified material weaknesses related to stock-based compensation. On this news, the price of Cutera common stock declined 12.5%.

On February 28, 2023, Cutera filed a Notification of Late Filing with the SEC, reporting that the company would not be able to timely file its annual financial report on Form 10-K by the March 1, 2023 deadline. Cutera further disclosed that it “had identified and expected to disclose in the Form 10-K material weaknesses in its internal control over financial reporting related to . . . ineffective inventory count controls.” On this news, the price of Cutera common stock declined 1%.

Taking all facts into account, Investors have reasons to suspect Cutera & its Leaders of misleading and failing to disclose true material facts about the Company. Specifically, they overstated the sustainability of Cutera’s revenue growth, failed to disclose significant conflicts among members of the company’s senior leadership and Board, and failed to disclose several material weaknesses in Cutera’s internal control over financial reporting. As a result of Defendant’s wrongful acts and omissions, and the significant decline in the market value of the company’s common stock, Cutera’s investors have suffered significant damages.

Cutera Inc

Financial Misrepresentation

Cutera, Inc. (CUTR) Misconduct Case

cutera-investor-lawsuit

Kraft Heinz ($KHC) and the SEC have agreed to a $62.3 million settlement through the Fair Fund for allegations of accounting misconduct, specifically the improper reduction of COGS leading to inflated EBITDA.

For questions please contact George Scott - gs@11thestate.com

Kraft Heinz Co

Kraft Heinz $62.3M Fair Fund Securities Settlement

khc-fairfund-settlement

Provident Bancorp failed timely file the 10-Q form with SEC. 

Investors may suspect Provident and Accountables of misleading and negligence which led to investment losses.

On November 15, 2022, Provident Bancorp, Inc. (NASDAQ: PVBC) filed a Form NT 10-Q Notification of inability to timely file Form 10-Q for the quarter ended September 30, 2022. The Form NT 10-Q stated the delay was due to "estimates that Provident]will report net loss of approximately $27.5 million for the quarter ended September 30, 2022, compared to net income of $5.1 million for the quarter ended September 30, 2021."

On this news, $PVBC fell 21%, damaging investors.

Taking appeared facts into account, Investors may have reasons to suspect Provident and Accountables of misleading and negligence which led to investment losses.

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