RADNOR, Pa., Aug. 31, 2015 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP announces that a shareholder class action lawsuit has been filed against Investment Technology Group, Inc. (NYSE: ITG) ("ITG" or the "Company") on behalf of purchasers of the Company's common stock between February 28, 2011 to July 29, 2015, inclusive (the "Class Period").
For additional information about this lawsuit, or to request information about this action online, please visit http://www.ktmc.com/new-cases/investment-technology-group-inc.
ITG is an independent execution and research broker in the United States, Canada, Europe, and the Asia Pacific regions.
The shareholder complaint alleges that ITG and certain of its executive officers issued a series of materially false and misleading statements to investors and/or failed to disclose that: (1) ITG's AlterNet subsidiary operated a proprietary trading operation in 2010 through mid-2011 inside of ITG's POSIT dark pool, a private stock trading platform, against some of its broker clients; (2) the proprietary trading operation used information from customer stock orders within ITG's dark pool, as well as information from ITG clients that used the firm's algorithms to execute trades on other trading platforms, which should not have been available; and (3) as a result of the foregoing, the company's public statements were materially false and misleading at all relevant times.
On August 4, 2015, ITG issued a press release disclosing, among other things, that it had set aside over $20 million for a probable settlement with the SEC relating to an investigation into the Company's "customer disclosures" and "customer information controls." Following this news, shares of ITG's stock fell $5.46 per share, or over 23%, to close at $18.36 per share on July 30, 2015.
Shareholder Update: On August 12, 2015, Bloomberg reported that ITG had "agreed to pay a record fine" to the SEC of over $20.3 million, and had "admitted wrongdoing over allegations that it ran a secret trading desk that misused information about clients' orders." According to the SEC, ITG agreed to the $20.3 million fine to settle charges that it "operated a secret trading desk and misused the confidential trading information of dark pool subscribers." The Director of the SEC's Division of Enforcement further detailed that "ITG created a secret trading desk and misused highly confidential customer order and trading information for its own benefit. ... In doing so, ITG abused the trust of its customers and engaged in conduct justifying the significant sanctions imposed in this case."
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check (Darren J. Check, Esq., D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299 – 7706 or (610) 667 – 7706, or via e-mail at email@example.com.
Members of the class may, no later than October 5, 2015, petition the Court to be appointed as a lead plaintiff of the class. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. In order to be appointed as a 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 in the action. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). The complaint in this action was not filed by Kessler Topaz Meltzer & Check. For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com.
CONTACT: Kessler Topaz Meltzer & Check, LLP Darren J. Check, Esq. D. Seamus Kaskela, Esq. Adrienne O. Bell, Esq. 280 King of Prussia Road Radnor, PA 19087 (888) 299 - 7706 (610) 667 - 7706 firstname.lastname@example.org
SOURCE Kessler Topaz Meltzer & Check, LLP