Tal Education Group (TAL) Misled Investors Regarding its Cessation of Services Relating to K9 Academic AST Services
A shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired Tal Education Group (NYSE: TAL) American Depository Shares (“ADSs”) between June 14, 2022 and March 14, 2023, for violations of the Securities Exchange Act of 1934. Tal is an education and technology enterprise in China.
According to the complaint, despite assurances to the contrary, defendants failed to disclose that the Company was still providing K9 Academic AST Services. On March 14, 2023, Seeking Alpha published an article reporting that the Company potentially ignored government regulations that requires tutoring in core subjects to be offered as a non-profit business. On this news, the price of TAL ADS’s fell 10% to close at $6.12 per ADS on March 14, harming investors.
What Now: Similarly situated shareholders may be eligible to participate in the class action against Tal Education. Shareholders who want to act as lead plaintiff for the class must file their papers by May 30, 2023. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.