SAN DIEGO and NEW YORK, Aug. 17, 2015 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP is investigating whether certain officers and directors of Medley Management, Inc. (NYSE: MDLY) breached their fiduciary duties to shareholders. Medley Management is an investment holding company that specializes in making loans to middle market businesses. It operates and controls all of the business and affairs of Medley LLC and its subsidiaries.
View this press release on the law firm's Shareholder Rights Blog: www.robbinsarroyo.com/shareholders-rights-blog/medley-management-inc
Medley Management Lending Practices Under Investigation
On September 23, 2014, Medley Management launched its Initial Public Offering ("IPO") by offering six million shares of its Class A common stock at $18.00 per share. According to reports, the company was allegedly engaged in unethical or illegal business practices in connection with its payday lending business, unbeknownst to investors. On December 30, 2014, New York State's then superintendent of the Department of Financial Services, Benjamin Lawsky, sent a subpoena to one of Medley Management's subsidiaries, Medley Opportunity Fund, in connection with an investigation into the subsidiary's investments in payday lenders. Since news of this investigation was revealed, the price of Medley stock has dropped more than 50% from its $18.00 IPO price, to close at $8.18 per share on August 14, 2015.
In light of this news, Robbins Arroyo LLP's investigation focuses on whether Medley Management and/or its officers misled shareholders by issuing false statements regarding the company's business practices.
Medley Management Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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SOURCE Robbins Arroyo LLP