Futu Holdings Limited (FUTU) Allegedly Operated Illegally in China
A shareholder filed a class action on behalf of all persons and entities that purchased or otherwise acquired Futu Holdings Limited (NASDAQ: FUTU) securities between April 27, 2020 and May 16, 2023. Futu purports to be “an advanced technology company transforming the investing experience by offering fully digitalized financial services.”
According to the complaint, during the class period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Futu’s business was, quite simply, illegal as it related to operations in China as a result of its failure to obtain the proper licenses; (2) it did not fully disclose to investors that it was engaging in unlawful activity and instead falsely characterized the applicable Chinese laws as ambiguous; (3) the foregoing subjected the Company to a heightened risk of regulatory enforcement; and (4) as a result, Defendants’ statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times. As a result of these wrongful acts, class members have suffered significant losses and damages.
What Now: Similarly situated shareholders may be eligible to participate in the class action against Futu Holdings Limited. Shareholders who want to act as lead plaintiff for the class must file their papers by August 11, 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. If you choose to take no action, you can remain an absent class member.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
