LAWSUITS NEWS & LEGAL INFORMATION
Bank of New York Mellon Corporation BK Securities Stock Fraud
|Company:||Bank of New York Mellon Corporation|
|Class Period:||Feb-21-08 to Aug-11-11|
|Lead Plaintiff Deadline:||Feb-13-12|
The action asserts claims under the Securities Exchange Act of 1934 ("Exchange Act") on behalf of investors in BNY Mellon common stock during the period of February 21, 2008 through August 11, 2011 (the "Class Period"), and seeks remedies under the Securities Act of 1933 ("Securities Act") on behalf of persons who purchased or otherwise acquired BNY Mellon common stock pursuant and/or traceable to the Offerings.
The Complaint alleges that during the Class Period, BNY Mellon and certain of its senior executives violated provisions of the Exchange Act by issuing false and misleading press releases, financial statements, filings with the Securities and Exchange Commission ("SEC") and statements during investor conference calls. As alleged in the Complaint, throughout the Class Period, BNY Mellon and certain of its senior executives misled investors regarding the Company's financial condition by reporting inflated revenue and concealing risks attributable to BNY Mellon's participation in a scheme to fraudulently overcharge its custodial clients for foreign currency ("FX") trades. The Complaint also seeks remedies under the Securities Act against BNY Mellon, certain of the Company's senior officers and directors, and certain underwriters for material misstatements and omissions contained in materials issued in connection with the Offerings.
Beginning in January 2011, a series of corrective disclosures began to reveal the truth concerning BNY Mellon's FX trading scheme, the profits derived from that misconduct and the Company's true financial condition and business prospects. Specifically, disclosures concerning the unsealing of several whistleblower lawsuits against BNY Mellon, including those in Virginia and Florida, the intervention in those suits by the attorneys general of Florida and Virginia, as well as a series of news articles examining the Company's improper FX trading practices, caused the price of BNY Mellon stock to drop precipitously. As alleged in the Complaint, one news article published in The Wall Street Journal on August 12, 2011 quoted internal Company emails from a BNY Mellon executive that admitted that providing "full transparency" into the Company's FX trading practices to its custodial clients would reduce BNY Mellon's profit margins "dramatically." As a result of these disclosures, BNY Mellon's shares fell from $31.95 per share on January 21, 2011 to a closing price of $19.99 per share on August 12, 2011 -- a decline of over 37% that represents a market capitalization loss of over $14 billion. Since the end of the Class Period, both the New York Attorney General and the U.S. Department of Justice filed actions against BNY Mellon alleging claims arising out of the Company's FX trading practices, which are also reportedly the subject of an investigation by the SEC.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
Bank of New York Mellon Corporation BK Securities Fraud Legal HelpIf you have suffered from financial losses, you may qualify for damages or remedies that may be awarded in a possible Bank of New York Mellon Corporation securities class action lawsuit. Please click the link below to submit your complaint for a free evaluation.
Published on Dec-20-11
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