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AROW.US
id: 774

Arrow Financial (AROW) Investor Settlement

Late claims are being considered for compensation, subject to approval.
N.D. New York
Court
1:23-CV-00764
Case number
08/06/2022
Class period Start
05/12/2023
Class period End
01/17/2025
Claim deadline
Arrow Financial reached an agreement with $AROW investors to settle claims about the financial reporting issues and the risk of NASDAQ delisting.

Case Details:

On May 11, 2023, Arrow Financial Corporation (AROW) disclosed that it could not timely file its quarterly report “because the Company continued to require additional time to complete management’s assessment of the effectiveness of internal controls over financial reporting as of December 31, 2022”

On this news, $AROW fell 1.66%.

Then, on May 15, 2023, Arrow disclosed that it received a second notice of non-compliance with the NASDAQ’s periodic filing requirements because of the Company’s failure to timely file the 1Q23 10-Q with the SEC.

Arrow also disclosed that the Company’s “President and Chief Executive Officer and a member of the Board of Directors of Arrow terminated his employment as President and CEO and as a director of the Company and from all other positions he holds with the Company.”

On this news, $AROW fell 2.71%.

Based on these events, Arrow and its leaders were accused of hiding or misleading about the following details:
  • Arrow had defective disclosure controls and procedures, posing a risk of delayed financial report filings.
  • This increased the chance of NASDAQ delisting for Arrow.
  • After disclosing these issues, Arrow downplayed their severity and associated risks.
Arrow Financial reached an agreement with $AROW investors to settle claims about the financial reporting issues and the risk of NASDAQ delisting.
Case Status
Accepting Late Claims
Alleged Offence
Misleading Statements
Financial Misrepresentation
Failure to Disclose
Omissions
Suspected Party
Directors
Management
Service Provider
Security Type
Stocks
Trade Direction
Long
Payout per Share
0.35
Filing date
06/23/2023
Lead Plaintiff Deadline
08/22/2023
Plaintiffs
Robert C. Ashe
Attorneys
Pomerantz LLP (New York, NY)
Defendants
Thomas J. Murphy, Penko K. Ivanov, Edward J. Campanella,
Judge
Hon. Anne M. Nardacci
Administrator
Strategic Claims Services
Settlement agreement date
2024-06-07
Court hearing date
01/10/2025
Exclusion deadline
12/20/2024
Objection deadline
12/20/2024
Trades matching type
FIFO
+$850,000
Cash Settlement Amount

Arrow Financial Corporation

Arrow Financial Corporation, a bank holding company, provides commercial and consumer banking, and financial products and services. The company's deposit products include demand deposits, interest-...

    Ticker
    AROW.US
    ISIN
    US0427441029
    CIK
    717538
    Sector
    Financial Services
    Industry
    Banks - Regional
    Country
    USA
    Address
    250 Glen Street, Glens Falls, NY, United States, 12801