Facebook Allegedly Dupes Investors
Some investors are suing Facebook over allegedly hiding their true financial status before the release of their IPO this week. Investors say that last minute changes in the financial outlook of Facebook caused them to lose money investing in the company. Allegations like these are very serious because of the sensitivity of the issues at hand, the timing of the issues, and the economic situation the world is in.
Financial wrong doing has been in the headlines since the recession started and this lawsuit alleges just that. Companies like Goldman Sachs and Morgan Stanley are facing lawsuits from investors about similar situations. Those lawsuits have not been resolved yet and this current one against Facebook will take some time. The timing of the lawsuits is also alarming because it was done two days after the IPO was released.
Article written by Lulaine Compere, writer and research analyst for RD Legal Funding, LLC.