Securities Class Against Live Ventures
WASHINGTON, DC (May 10, 2017) — U.S. Market Advisors Law Group PLLC announces that a class action lawsuit has been filed against Live Ventures Incorporated (“Live” or the “Company”)(NASDAQ:LIVE) and certain of its officers. The case has been filed in United States District Court for the District of Nevada and docketed under 17-cv-01258. The class action is on behalf of investors who purchased or otherwise acquired Live securities, seeking to recover compensable damages caused by defendants’ violations of the Securities Exchange Act of 1934.
If you are a shareholder who purchased Live securities between November 7, 2016 and January 6, 2017, you have until July 5, 2017 to ask the Court to appoint you as Lead Plaintiff for the class. To discuss this action, contact David P. Abel at [email protected].
LIVE is a Diversified Growth Holding Company with a focus on acquiring U.S. companies.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by disseminating false and misleading statements to the investing public. According to a January 6, 2017 article by Richard Pearson (“the Pearson article”), the Company paid a host of individuals and companies to publish articles touting the Company, its business and future prospects. According to the Pearson article, among those participating in this misleading promotional campaign was Michael J. Markowski (“Markowski”). In 2001, Markowski was charged by the SEC with a host of securities fraud violations and sanctioned with a lifetime bar from the securities industry.
In a six-week time frame between November 2016 and December 2016, Markowski published at least nine articles urging investors to buy LIVE’s stock “at market.” During this same period the Company’s stock price became artificially inflated, rising from $11.58 per share on November 8, 2016 to $27.68 on December 28, 2016. Upon information and belief, Markowski receives income from companies for publishing favorable articles about them in an effort to raise the company’s stock price.
On January 6, 2017, an article was published on SeekingAlpha.com by Richard Pearson reporting that LIVE had reported a false earnings per share number in its December 28, 2016 press release (which was contradicted by the Company’s Form 10-K filed the following day), and paid money to Markowski and others to publish articles praising the Company and its prospects and to spearhead a misleading informational campaign aimed at boosting its stock price.
On this news, the Company’s stock dropped from $20.67 on January 5, 2017 to close at $18.05 on January 6, 2017, a loss of $2.62 per share, or approximately 13%, on unusually heavy volume of 1.488 million shares.
As a result of Defendants’ false and misleading statements, LIVE securities traded at artificially inflated prices during the Class Period. However, after the above revelations seeped into the market, the Company’s securities continued to fall, sending the Company’s stock price down nearly 48% from its $27.68 Class Period high.
About USMA
U.S. Market Advisors Law Group PLLC is a national law firm based in Washington, D.C. The firm represents investors worldwide in U.S. securities class action lawsuits.
Contact
David P. Abel
(202) 274-0237
[email protected]