NEW YORK, Nov. 30, 2021 /PRNewswire/ -- Bernstein Liebhard, a nationally acclaimed investor rights law firm, reminds Investors of the December 20, 2021 Deadline to File a Lead Plaintiff Motion in a Securities Class Action Lawsuit Against Goldman Sachs Group, Inc. and Morgan Stanley for securities law violations regarding trading in Gaotu Techedu Inc. ("Gaotu" or the "Company") (NYSE: GOTU) from March 22, 2021 through March 29, 2021 (the "Class Period"). The lawsuit filed in the United States District Court for the Southern District of New York alleges violations of the Securities Act of 1934.
If you purchased Gaotu securities, and/or would like to discuss your legal rights and options please visit Gaotu Techedu Inc Shareholder Class Action Lawsuit or contact Joe Seidman toll free at (877) 779-1414 or [email protected].
According to the complaint, Defendants Goldman Sachs Group Inc. and Morgan Stanley traded while in possession of material non-public information and that: (1) Defendants obtained the material non-public information pursuant to their agreements with Archegos Capital Management's ("Archegos") and as a result of their serving as prime brokers of Archegos. (2) Defendants knew, recklessly disregarded, or should have known that they owed a fiduciary duty, or obligation arising from a similar relationship of trust and confidence, to Archegos to keep the information confidential. (3) Nevertheless, while in possession of material, non-public adverse information, Defendants collectively sold billions of dollars' worth of Gaotu Techedu Inc. (GOTU) shares.
During one week in late March 2021, investment banks Goldman Sachs and Morgan Stanley traded on inside information by selling large amounts of GOTU stock based on then publicly undisclosed information obtained through their relationship with troubled multi-billion dollar family office Archegos Capital Management.
On this news, shares of Gaotu Techedu Inc. stock fell over 60% during the week of March 22, 2021 to March 29, 2021.
If you wish to serve as lead plaintiff, you must move the Court no later than December 20, 2021. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
If you purchased Gaotu securities, and/or would like to discuss your legal rights and options please visit https://www.bernlieb.com/cases/gaotutecheduinc-gotu-shareholder-class-action-lawsuit-fraud-stock-446/ or contact Joe Seidman toll free at (877) 779-1414 or [email protected].
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal's "Plaintiffs' Hot List" thirteen times and listed in The Legal 500 for ten consecutive years.
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SOURCE Bernstein Liebhard LLP