NEW YORK, NY / ACCESSWIRE / February 8, 2020 / Pomerantz LLP is investigating claims on behalf of investors of 500.com Limited ("500.com" or the "Company") (WBAI). Such investors are advised to contact Robert S. Willoughby at email@example.com or 888-476-6529, ext. 9980.
The investigation concerns whether 500.com and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On December 31, 2019, 500.com issued a press release announcing "that the Company's Board of Directors (the ‘Board') has formed a Special Investigation Committee (‘SIC') to internally investigate alleged illegal money transfers and the role played by consultants following the arrest of one consultant (also a former director of the Company's subsidiary in Japan) and two former consultants by the Tokyo District Public Prosecutors Office." 500.com further disclosed the resignation of Xudong Chen as Chairman of the Company's Board, effective December 30, 2019, and that "the Board has accepted the request from Mr. Zhengming Pan, Director and Chief Executive Officer, to temporarily step aside from his positions, effective December 30, 2019, until the conclusion of the SIC's investigation in order to ensure a thorough and fair investigation."
On this news, 500.com's American depositary receipt price fell $0.94 per share, or 10.93%, to close at $7.66 per share on January 2, 2020, the following trading day.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
SOURCE: Pomerantz LLP
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