Investors suing Facebook and it's CEO for withholding negative information.

iamwhatiseem

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Aug 19, 2010
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Could get interesting......

NEW YORK (CNNMoney) -- Three investors sued Facebook and chief executive Mark Zuckerberg on Wednesday, along with lead underwriter Morgan Stanley and a host of other underwriters, accusing them of withholding negative information about the social network's initial public offering.

"It appears as though material information was not disclosed," said Robert Weiser, one of the plaintiff lawyers in the class action suit. "We believe that the offering was conducted unfairly and it harmed public stockholders."

Investors file lawsuit against Facebook, Morgan Stanley - May. 23, 2012

Also...
http://www.washingtonpost.com/busin...ise-concerns/2012/05/23/gJQAonwjkU_story.html
 
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lol, good.

They are trying to go further on hot air. And then their stocks took a shit.
Their own decisions have shot them in the foot and they support cispa, so I'm glad that they are getting bit in the ass.
 
Smells like another lawsuit `bout to go down...
:eusa_shifty:
UBS, Citigroup Lost $50 Million Due To Facebook Nasdaq Glitches
UBS lost $30 million, Citigroup out $20 million on Facebook trading, sources say; Glitches at Nasdaq Stock Market drove losses for market-makers; Nasdaq OMX unsure whether losses will be fully covered
The market-making arms of UBS AG UBS -1.20% and Citigroup Inc. C -0.71% suffered combined losses of about $50 million on trades made during last Friday's glitch-plagued listing of Facebook Inc. FB -3.39% on the Nasdaq Stock Market, according to persons familiar with the matter. Citigroup's losses stemming from the problematic debut of Facebook's stock were about $20 million, while UBS lost an approximate $30 million, according to people familiar with the matter. The banks' exposure lifts the estimated financial hit from Facebook among brokers above $100 million, following reported losses this week from other wholesale market-making firms including Citadel LLC and Knight Capital Group KCG -2.41% .

Such market-making businesses, including Citigroup's Automated Trading Desk unit and a similar division at UBS, execute and route retail investors' stock orders and were among the Wall Street trading operations hardest hit by the Facebook errors. The high interest from retail investors in Facebook's market debut left many individuals ensnared by the Nasdaq glitches, and prompted retail brokerages to turn to wholesale market-makers like Citigroup, UBS, Knight and Citadel to make up the difference.

Such firms have submitted requests to Nasdaq OMX, seeking for the exchange group to make up their own losses. Nasdaq OMX has earmarked so far about $13 million to offset the damage, and executives have suggested that amount could go higher. However, Eric Noll, Nasdaq OMX's head of transaction services, told brokers this week on a conference call that it was not certain whether losses would be fully covered. Knight this week disclosed its losses from the episode would likely range from $30 million to $35 million. with Citadel seen taking a similar hit, according to persons familiar with the matter. Other firms, such as E-Trade Financial Corp. ETFC -0.91% , are seen taking smaller losses.

The board of Nasdaq OMX Group Inc. NDAQ +1.19% will make the final decision as to how much the exchange operator is willing to pay to make up losses sustained by some of the largest U.S. equity traders. The Financial Industry Regulatory Authority is examining the trades affected by last week's chaotic session and will submit a report on overall losses to Nasdaq OMX. Nasdaq OMX executives this week have pointed to an unforeseen problem with the company's system for handling initial public offerings. An influx of order cancellations interfered with the process of matching up buy and sell interest in Facebook's shares to form the initial trade, contributing to a 20-minute period in which attempted transactions in the shares fell into limbo and went unconfirmed for hours.

Source
 

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