BOSTON, Feb. 8, 2017 /PRNewswire/ -- Block & Leviton LLP (www.blockesq.com), a securities litigation firm representing investors nationwide, announces that a class action lawsuit has been filed against FXCM, Inc. ("FXCM" or the "Company") (NASDAQ GM: FXCM) for violations of the federal securities laws.
On February 6, 2017, the Commodities Futures Trading Commission ("CFTC") issued an order against FXCM requiring the Company to withdraw from CFTC regulation and pay a $7 million fine. The order outlined that from 2009 through at least 2014, FXCM and its founding partners "engaged in false and misleading solicitations to its retail foreign exchange customers" by concealing its relationship with its most important market maker.
On February 7, shares fell 50% and are down nearly another 20% today.
The case, brought on behalf of investors who purchased or otherwise acquired FXCM securities between March 15, 2012 through February 6, 2017, inclusive, alleges that the defendants made false and/or misleading statements and/or failed to disclose that: (1) between September 4, 2009 through at least 2014, FXCM's U.S. subsidiary engaged in false and misleading solicitations of its retail foreign exchange customers by concealing its relationship with its most important market maker and by misrepresenting that its "No Dealing Desk" platform had no conflicts of interest with its customers; (2) FXCM's U.S. subsidiary made false statements to the National Futures Association about its relationship with the market maker; and (3) as a result, Defendants' statements about FXCM's business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
If you wish to serve as a lead plaintiff, you must move the Court no later than April 10, 2017. As a member of the class, you may seek to file a motion to serve as a lead plaintiff or take no action and remain an absent class member. If you wish to become involved in the litigation or have questions about your legal rights, please contact attorney Bradley Vettraino at (617) 398-5600, by email at firstname.lastname@example.org, or by visiting www.blockesq.com/fxcm.
Confidentiality to whistleblowers or others with information relevant to the lawsuit is assured.
Block & Leviton LLP is a Boston-based law firm representing investors nationwide. The firm's lawyers have collectively been prosecuting securities cases on behalf of individual and institutional investors for over 50 years, and have recovered billions of dollars on their behalf. Block & Leviton's investigations into corporate wrongdoing were recently covered by the New York Times.
The case, filed February 7, 2017, is pending in the United States District Court for the Southern District of New York, and is captioned Khoury v. FXCM, Inc. et al., Ca No. 1:17-cv-00916.
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Block & Leviton LLP
Bradley J. Vettraino
155 Federal Street, Suite 400
Boston, MA 02110
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SOURCE Block & Leviton LLP