PITTSBURGH, PA / ACCESSWIRE / March 28, 2018 / Pittsburgh Law Office of Alfred G. Yates Jr. PC has filed a class action lawsuit against Facebook, Inc. ("Facebook" or the "Company") (FB) and certain of its officers in the United States District Court, Northern District of California on behalf of a class consisting of investors who purchased or otherwise acquired common shares of Facebook between February 3, 2017 and March 19, 2018, both dates inclusive (the "Class Period").
If you are a shareholder who purchased Facebook securities during the Class Period, you have until May 21, 2018 to ask the Court to appoint you as Lead Plaintiff for the class. Concerned shareholders who would like more information about their rights and potential remedies may contact attorney Alfred G. Yates Jr. by phone at (412) 391-5164 or 1-844-391-5164; by email at email@example.com or firstname.lastname@example.org; or at the firm's website at http://www.yatesclassactionlaw.com.
The lawsuit alleges that, during the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Facebook violated its own purported data privacy policies by allowing third parties to access the personal data of millions of Facebook users without the users' consent; (ii) discovery of the foregoing conduct would foreseeably subject the Company to heightened regulatory scrutiny; and (iii) as a result, Facebook's public statements were materially false and misleading at all relevant times.
On March 17, 2018, The New York Times reported that voter-profiling company Cambridge Analytica "harvested private information from the Facebook profiles of more than 50 million users without their permission, according to former Cambridge employees, associates and documents, making it one of the largest data leaks in the social network's history."
The next day, March 18, 2018, the Massachusetts Attorney General said her office was launching an investigation into Facebook. On March 19, 2018, the U.S. Federal Trade Commission and European Union officials also said they would investigate.
On this news, the price of Facebook stock fell nearly 6.8% on March 19, 2018.
On March 20, 2018, several media outlets reported that the United Kingdom Parliament had summoned Facebook CEO Mark Zuckerberg to give evidence related to the Cambridge Analytica news.
Following these news reports, Facebook's share price fell an additional $4.41, or 2.5%, on March 20, 2018.
As of market close on March 22, 2018, the stock price had fallen to $164.89, a 10.9% drop from the March 16, 2018 close price.
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SOURCE: Law Office of Alfred G. Yates Jr., PC