A new lawsuit against Goldman Sachs filed today Goldman shares traded at artificially inflated prices until news hit that Goldman faced charges from the SEC on April 16, according to Reuters.
Basically, shareholders are pissed Goldman’s stock deflated so quickly, so they’re suing Goldman, saying it’s the firm’s fault for the dramatic drop. They cite the bank’s not being forthright about receiving a Wells notice.
Robbins Geller Rudman & Dowd LLP is suing on behalf of the shareholders.
The shareholders demand a jury trial, which could be brutal for Goldman. The general public is out for blood.
In the claim, shareholders charge that Goldman hid the details about receiving a Wells notice last July from the U.S. Securities and Exchange Commission, indicating potential civil charges, over ABACUS.
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