INVESTOR ALERT: Edelson Lechtzin LLP Is Investigating Securities Fraud Claims Against Virtu Financial, Inc. (NASDAQ: VIRT)
NEWTOWN, PA, May 22, 2023 — The law firm of Edelson Lechtzin LLP is investigating securities fraud claims on behalf of purchasers and holders of Virtu Financial, Inc. (“Virtu” or the “Company”) (NASDAQ: VIRT) common stock between March 1, 2019, and April 28, 2023, inclusive (the “Class Period”).
Investors who purchased Virtu Financial, Inc. common stock may move the U.S. District Court for the Eastern District of New York to appoint them as lead plaintiff, no later than July 18, 2023. Current holders of Virtu stock may pursue claims for breach of fiduciary duties and corporate governance reforms. Please contact Edelson Lechtzin LLP at 844-696-7492 to discuss your investment losses, or by e-mail at [email protected]. A copy of the class action complaint can be viewed HERE.
Background on Virtu Financial, Inc.
Virtu is a financial services firm that operates through two segments, Market Making and Execution Services. They provide a product suite that includes offerings in execution, liquidity sourcing, analytics, and broker-neutral, multi-dealer platforms in workflow technology. Virtu claims to have established information access barriers, or separations between different departments or individuals designed to block the exchange of confidential information and prevent conflicts of interest.
The Securities Fraud Claims
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements or material omissions regarding the Company’s business, operations, and prospects, including that: (i) Virtu maintained deficient policies and procedures with respect to its information access barriers; (ii) accordingly, Virtu had overstated the Company’s operational and technological efficacy as well as its capacity to block the exchange of confidential information between departments or individuals within the Company; and (iii) the foregoing deficiencies increased the likelihood that the Company would be subject to enhanced regulatory scrutiny. As a result, Defendants’ public statements were materially false and misleading at all relevant times.
On February 17, 2023, after the market closed, Virtu filed its Annual Report on Form 10-K with the SEC for the year ended December 31, 2022, in which it disclosed that “the Company has been responding to requests for information from the U.S. Securities and Exchange Commission in connection with an investigation of aspects of the Company’s information access barriers.” On this news, Virtu’s stock price fell $0.32 per share, or 1.60%, to close at $19.69 per share on February 21, 2023.
Then on April 28, 2023, Virtu filed a Quarterly Report with the SEC reporting its results for the quarter ended March 31, 2023. In this report, Virtu added “in the absence of a settlement, the Company currently believes it may receive a Wells Notice from the SEC,” and “the proposed action would be expected to allege violations of federal securities laws with respect to the Company’s information barriers policies and procedures for a specified time period in and around January 2018 to April 2019 and related statements made by the Company during such period.” On this news, Virtu’s stock price fell $1.13 per share, or 5.68%, to close at $18.77 per share on May 3, 2023.
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: [email protected]
Email: [email protected]
Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, consumer fraud, and dangerous and defective drugs and medical devices.
This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.