NEW YORK, Jan. 28, 2015 /PRNewswire/ -- Bernstein Liebhard LLP today announced that a class action has been commenced in the United States District Court for the District of the Virgin Islands on behalf of purchasers (the "Class") of common stock of Altisource Asset Management Corporation ("AAMC" or the "Company") (NYSE: AAMC) during the period of April 19, 2013 to January 12, 2015 (the "Class Period").
The Complaint alleges that during the Class Period defendants misrepresented and/or concealed the Company's relationship and conflicted transactions with a group of related companies, including Ocwen Financial Corporation ("Ocwen"), all of which were founded by Defendant William Erbey.
On December 22, 2014, the Company announced that, as part of the terms of a settlement that Ocwen had reached with the New York Department of Financial Services (the "New York DFS"), Defendant Erbey would be stepping down as chairman of AAMC's board and from his positions at each of the related companies. As part of its investigation, the New York DFS indicated that it had uncovered "serious conflicts of interest between the Related Companies." As a result of this announcement, AAMC's stock price declined over 23% from a closing price of $465.30 per share on December 19, 2014 to close at $356.50 per share on December 22, 2014, the next trading day, on high trading volume.
Subsequently, on January 13, 2015, the California Department of Business Oversight announced that it was seeking to revoke Ocwen's license to operate in the state. On this news, the price of AAMC's stock fell over 33% from a closing price of $321.81 per share on January 12, 2015 to close at $214.27 per share on January 13, 2015.
Plaintiffs seek to recover damages on behalf of all Class members who invested in AAMC common stock during the Class Period. If you invested in AAMC common stock as described above, and either lost money on the transaction or still hold the security, you may wish to join in this action to serve as lead plaintiff. In order to do so, you must meet certain requirements set forth in the applicable law and file appropriate papers no later than March 17, 2015.
A "lead plaintiff" is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as lead plaintiff. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Bernstein Liebhard LLP, or other counsel of your choice, to serve as your counsel in this action.
If you are interested in discussing your rights as an AAMC shareholder and/or have information relating to the matter, please contact Joseph R. Seidman, Jr. at (877) 779-1414 or [email protected].
Bernstein Liebhard LLP has pursued hundreds of securities, consumer and shareholder rights cases and recovered over $3 billion for its clients. The National Law Journal has recognized Bernstein Liebhard for twelve consecutive years as one of the top plaintiffs' firms in the country.
You can obtain a copy of the complaint from the clerk of the court for the United States District Court for the District of the Virgin Islands.
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SOURCE Bernstein Liebhard LLP