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Six Flags Entertainment Corporation Securities Fraud Class Action Result of Undisclosed Financial Problems and 63% Stock Decline - Investors may Contact Lewis Kahn, Esq, at Kahn Swick & Foti, LLC
Globenewswire· 2025-12-17 03:42
Core Viewpoint - Investors with substantial losses in Six Flags Entertainment Corporation have until January 5, 2026, to file lead plaintiff applications in a securities class action lawsuit related to the company's merger with Cedar Fair, L.P. [1] Group 1: Lawsuit Details - The lawsuit alleges that Six Flags and certain executives failed to disclose material information in the registration statement for the merger, violating federal securities laws [3]. - The registration statement did not reveal that Legacy Six Flags suffered from chronic underinvestment and required millions in additional capital to maintain its market share [4]. - Following the appointment of CEO Selim Bassoul in November 2021, aggressive cost-cutting measures were implemented, degrading operational competence and guest experience [4]. Group 2: Financial Impact - On the merger closing date, July 1, 2024, Six Flags stock traded above $55 per share, but subsequently fell to as low as $20 per share, representing a nearly 64% decline [5].
UPDATE -- Lowey Dannenberg Notifies Stride, Inc. (“Stride” or the “Company”) (NYSE: LRN) Investors of Securities Class Action Lawsuit and Encourages Investors with more than $100,000 in Losses to Contact the Firm
Globenewswire· 2025-12-05 18:05
Core Viewpoint - A class action lawsuit has been filed against Stride, Inc. for violations of federal securities laws, alleging misleading statements and non-disclosure of critical operational issues during the Class Period from October 22, 2024, to October 28, 2025 [1][2]. Group 1: Allegations Against Stride, Inc. - The lawsuit claims that Stride inflated enrollment numbers by retaining "ghost students" [2]. - It is alleged that the company cut staffing costs by assigning teachers caseloads beyond statutory limits [2]. - Stride is accused of ignoring compliance requirements, including background checks and licensure laws for employees, as well as federally mandated special education services [2]. - The company allegedly suppressed whistleblowers who reported financial directives aimed at delaying hiring and denying services to maintain profit margins [2]. - The lawsuit states that Stride has been losing existing and potential enrollments [2]. Group 2: Impact on Investors - Following the revelation of these issues, Stride's common stock experienced a significant decline, resulting in financial losses for investors [3]. - Investors who suffered losses exceeding $100,000 in Stride's securities are encouraged to participate in the lawsuit or learn more about the lead plaintiff process [3]. Group 3: About the Law Firm - Lowey Dannenberg P.C. is a law firm specializing in representing institutional and individual investors who have suffered financial losses due to corporate fraud and violations of federal securities laws [4]. - The firm has a track record of prosecuting multi-million-dollar lawsuits and has recovered billions for its clients [4].
LRN LAWSUIT ALERT: The Gross Law Firm Notifies Stride, Inc. Investors of a Class Action Lawsuit and Upcoming Deadline
Prnewswire· 2025-12-01 13:45
Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Stride, Inc. regarding a class action lawsuit due to allegations of misleading practices that inflated enrollment numbers and compromised compliance with educational regulations [1]. Group 1: Allegations Against Stride, Inc. - Stride, Inc. is accused of inflating enrollment figures by retaining "ghost students" [1]. - The company allegedly cut staffing costs by assigning teachers caseloads beyond statutory limits [1]. - Stride is claimed to have ignored compliance requirements, including background checks and special education services mandated by federal law [1]. - The firm is also accused of suppressing whistleblowers who reported financial directives aimed at delaying hiring and denying services to maintain profit margins [1]. - These practices reportedly led to a loss of existing and potential enrollments [1]. Group 2: Class Action Details - The class period for the lawsuit is defined as October 22, 2024, to October 28, 2025 [1]. - Shareholders are encouraged to register for the class action by January 12, 2026, to potentially become lead plaintiffs [2]. - There is no cost or obligation for shareholders to participate in the case [2].
Stride, Inc. Stockholders with Large Losses Should Contact Robbins LLP for Information About Leading the LRN Class Action
Globenewswire· 2025-11-21 22:10
Core Viewpoint - Stride, Inc. is facing a class action lawsuit due to allegations of misleading investors about its business practices, including inflating enrollment numbers and ignoring compliance requirements [1][3]. Company Overview - Stride, Inc. (NYSE: LRN) is a technology company that provides an education platform for online learning across the U.S. [1]. Class Action Details - The class period for the lawsuit is from October 22, 2024, to October 28, 2025 [1]. - The lawsuit was filed on behalf of all investors who purchased or acquired Stride shares during the class period [1]. Allegations Against Stride - Stride allegedly made false statements about being a leading technology-based education company and claimed to have deep expertise in educational and regulatory matters [3]. - Specific allegations include: 1. Inflating enrollment numbers by retaining "ghost students" [3]. 2. Cutting staffing costs by exceeding statutory limits on teachers' caseloads [3]. 3. Ignoring compliance requirements, including background checks and special education services [3]. 4. Suppressing whistleblowers who reported financial directives to delay hiring and deny services [3]. 5. Losing existing and potential enrollments [3]. Stock Price Impact - Following a report on September 14, 2025, regarding allegations of fraud and deceptive practices, Stride's stock price fell by $18.60, or 11.7%, closing at $139.76 on September 15, 2025 [4]. - On October 28, 2025, Stride announced that "poor customer experience" led to an estimated 10,000-15,000 fewer enrollments, resulting in a stock price drop of $83.48, or over 54%, closing at $70.05 on October 29, 2025 [5]. Next Steps for Shareholders - Shareholders interested in participating as lead plaintiffs must submit their papers by January 12, 2026 [6]. - Shareholders can remain absent class members if they choose not to participate [6].
SC seeks replies from Centre, CBI, ED, Anil Ambani on PIL
Rediff· 2025-11-18 10:58
Core Viewpoint - The Supreme Court is seeking responses regarding a Public Interest Litigation (PIL) that calls for a court-monitored investigation into alleged massive banking and corporate fraud involving the Anil Dhirubhai Ambani Group (ADAG) and its associated companies [1][4]. Group 1: Allegations and Investigations - The PIL alleges that the Central Bureau of Investigation (CBI) and the Enforcement Directorate (ED) are not adequately investigating the complicity of banks and their officials in the alleged fraud [4][12]. - The petition claims that the fraud has been ongoing since 2007-08, with an FIR registered in 2025, indicating a significant delay in addressing the issue [5][10]. - The petition highlights that between 2013 and 2017, Reliance Communications (RCOM), Reliance Infratel (RITL), and Reliance Telecom (RTL) borrowed ₹31,580 crore from a consortium of banks led by the State Bank of India (SBI) [10]. Group 2: Calls for Action - The petitioner is requesting a status report from the CBI and ED regarding their investigations into the banks and their officials, asserting that the current investigations are inadequate and limited to a narrow FIR filed by SBI [6][10]. - The plea seeks the establishment of a Special Investigation Team (SIT) comprising officers from the CBI and ED to conduct a thorough and impartial investigation [8][9]. - The petition emphasizes the need for a comprehensive and judicially-supervised probe to ensure that all aspects of the financial misconduct are investigated, including the roles of bank officials and auditors [9][10].
SC seeks replies from Centre, CBI, ED and Anil Ambani on plea alleging massive fund diversion at RCom
MINT· 2025-11-18 08:42
Core Viewpoint - The Supreme Court has issued notices for a court-monitored investigation into alleged financial irregularities and fund diversion involving Reliance Communications and its former promoter Anil Ambani [1][5]. Group 1: Allegations and Investigations - A Public Interest Litigation (PIL) claims that Reliance Communications diverted bank loans amounting to tens of thousands of crores through complex transactions and manipulated accounts [2]. - The PIL alleges that banks delayed declaring accounts as fraudulent despite having forensic audit reports, raising concerns about oversight by lenders and regulators [2]. - The case is described as potentially the largest corporate fraud in India's history, with allegations of wrongdoing persisting for over a decade [3]. Group 2: Legal Proceedings - The Supreme Court has requested replies from the Union government, CBI, ED, and Anil Ambani within three weeks [1][5]. - The petition seeks a comprehensive investigation covering forensic audit materials, insolvency records, and other relevant documents [6]. - The PIL calls for inquiries under various laws, including the Indian Penal Code, Prevention of Corruption Act, and the Companies Act [7]. Group 3: Ongoing Scrutiny - Several Reliance Group companies linked to Anil Ambani are currently under investigation, with the CBI conducting searches related to a separate loan fraud case [8]. - The ED has expanded its money-laundering probe, raiding over 35 premises connected to more than 50 group companies [8]. - By November 2025, the ED had frozen assets worth ₹3,084 crore and attached land valued at ₹4,462 crore due to suspected laundering of bank loan proceeds [9]. Group 4: Company Response - Reliance Communications has referred to previous allegations of a ₹41,921-crore financial fraud, claiming these are part of a malicious campaign to tarnish its reputation [10][11]. - The company asserts that the allegations are orchestrated by corporate rivals with vested interests in acquiring Reliance Group assets [11].
5 high-profile CEOs who were famously ousted from their companies
Yahoo Finance· 2025-11-15 16:33
Core Insights - The modern business landscape in America is crowded with both public and private companies, creating an environment susceptible to fraud and misconduct, often leading to the ousting of CEOs when issues arise [1][2]. Group 1: High-Profile CEO Dismissals - High-profile CEOs have faced dismissal for various reasons, including corporate fraud, financial misconduct, and poor performance [2]. - Notable cases include Carlos Ghosn, who resigned from Renault-Nissan-Mitsubishi Alliance in 2018 due to ethical misconduct, including underreporting compensation [4][5]. - Elizabeth Holmes resigned as CEO of Theranos in 2018 after being indicted for defrauding investors and patients regarding the company's blood testing capabilities [9][10]. - Adam Neumann stepped down as CEO of WeWork in 2019 amid concerns over the company's financial viability and corporate governance issues, receiving $1.7 billion as part of his exit [14]. - Travis Kalanick resigned as Uber's CEO in 2017 following allegations of a toxic work culture and sexual harassment [17]. - Dennis Muilenburg resigned as Boeing's CEO in 2019 after two fatal crashes involving the 737 MAX raised serious safety concerns [21]. Group 2: Other Notable CEO Exits - Sam Bankman-Fried, former CEO of FTX, stepped down in November 2022 amid bankruptcy proceedings and allegations of misusing customer funds [22]. - John Stumpf, former CEO of Wells Fargo, resigned in October 2016 after the bank admitted to improper sales practices, forfeiting $41 million in stock awards [23]. - Bernard Ebbers, former CEO of WorldCom, was forced to resign in 2002 due to accounting fraud allegations, leading to the company's bankruptcy [24].
Lowey Dannenberg Notifies Six Flags Entertainment Corporation (“Six Flags” or the “Company”) (NYSE: FUN) Investors of Securities Class Action Lawsuit and Encourages Investors with more than $100,000 in Losses to Contact the Firm
Globenewswire· 2025-11-06 22:10
Core Viewpoint - A class action lawsuit has been filed against Six Flags Entertainment Corporation for alleged violations of federal securities laws related to the merger with Cedar Fair, L.P. [1][2] Group 1: Allegations and Issues - The lawsuit claims that the Registration Statement for the merger was negligently prepared, containing untrue statements and omissions that misled investors [2] - It is alleged that Legacy Six Flags suffered from chronic underinvestment, requiring millions in additional capital and operational expenditures to maintain its market position [2] - Prior to the merger, Legacy Six Flags deferred essential maintenance and operational improvements, which were not disclosed in the Registration Statement [2] Group 2: Impact on Investors - Following the merger announcement, Six Flags' common stock experienced a significant decline, resulting in financial losses for investors [3] - Investors who suffered losses exceeding $100,000 are encouraged to participate in the lawsuit [3] Group 3: Company Background - Lowey Dannenberg P.C. is a law firm specializing in representing investors who have suffered financial losses due to corporate fraud and violations of securities laws [4]
Portnoy Law Firm Announces Class Action on Behalf of Sina Corporation Holdings, Inc. Investors
Globenewswire· 2025-10-09 19:35
Core Viewpoint - A class action lawsuit has been initiated against Sina Corporation, alleging fraudulent activities by the company and its officers to undervalue shares during a take-private acquisition [3]. Group 1: Class Action Details - Investors who purchased securities between October 13, 2020, and March 22, 2021, are eligible to participate in the class action, with a deadline to file a lead plaintiff motion by November 18, 2025 [1]. - The Portnoy Law Firm is encouraging affected investors to contact them for legal rights discussions and case evaluations [2]. Group 2: Allegations Against Defendants - The complaint claims that Sina and its officers engaged in a scheme to depress the value of ordinary shares to avoid paying a fair price during the merger with a buyer group controlled by the CEO [3]. - Specific allegations include the failure to disclose the true value of Sina's investment in TuSimple Holdings, Inc., which misled shareholders regarding the fairness of the $43.30 per share offer during the merger [3].
RCI Hospitality Holdings, Inc. (RICK) Faces Investor Scrutiny After Tax Fraud Indictment Against Company, CEO, & CFO -- Hagens Berman
Globenewswire· 2025-09-17 17:16
Core Viewpoint - RCI Hospitality Holdings, Inc. experienced a significant decline in share price, nearly 16%, following a Grand Jury indictment by the New York Attorney General, which accused the company and its executives of multiple crimes, including bribery and tax fraud [1][4][7]. Group 1: Legal Issues - The New York Attorney General filed 79 charges against RCI and its executives, including CEO Eric Langan and CFO Bradley Chhay, related to bribery and conspiracy concerning tax audits of RCI-owned strip clubs [4][5]. - The indictment alleges that RCI attempted to influence a tax auditor to avoid penalties for unpaid sales taxes through various forms of remuneration [6]. Group 2: Investor Reaction - Following the indictment news, RCI's share price dropped almost 16%, indicating a severe market reaction to the legal developments [1][7]. - Hagens Berman, a national shareholders rights firm, has initiated an investigation into whether RCI misled investors regarding its compliance with laws and internal controls [2][3][7]. Group 3: Investigation Focus - The investigation by Hagens Berman is centered on RCI's assurances about the compliance of its financial statements with accounting rules and the adequacy of its internal controls over financial reporting [3][7]. - The firm is encouraging investors who suffered losses to come forward and assist in the investigation [2][7].