NEW YORK, Nov. 29, 2018 /PRNewswire/ -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in MoneyGram International, Inc. ("MoneyGram" or the "Company") (NASDAQ:MGI) of the January 14, 2019 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in MoneyGram stock or options between February 11, 2014 and November 8, 2018 and would like to discuss your legal rights, click here: www.faruqilaw.com/MGI. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to [email protected].
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Attn: Richard Gonnello, Esq.
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Northern District of Illinois on behalf of all those who purchased MoneyGram securities between February 11, 2014 and November 8, 2018 (the "Class Period"). The case, Chew v. MoneyGram International, Inc. et al., No. 18-cv-07537 was filed on November 14, 2018, and has been assigned to Judge Joan Humphrey Lefkow.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) MoneyGram was aware for years of high levels of fraud involving its money transfer system; (2) MoneyGram failed to implement appropriate anti-fraud countermeasures; and (3) this misconduct would draw scrutiny from the Federal Trade Commission ("FTC"), which had an agreed-upon order requiring MoneyGram to implement a comprehensive anti-fraud program, and the U.S. Department of Justice ("DOJ"), which entered into a Deferred Prosecution Agreement concerning MoneyGram's anti-fraud and anti-money laundering programs.
On November 8, 2018, the FTC announced that MoneyGram had agreed to pay $125 million to settle allegations that the Company violated the FTC's 2009 order and breached a 2012 deferred prosecution agreement with the DOJ. Specifically, the FTC alleged that, among other things, MoneyGram failed to implement an adequate anti-fraud program and was aware for years of fraud involving certain of its agents.
Following the FTC's announcement, MoneyGram's share price fell from $4.47 per share on November 8, 2018 to a closing price of $2.27 on November 9, 2018—a $2.20 or a 49.22% drop.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative 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. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding MoneyGram's conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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