Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $50,000 Investing In RCS Capital Corporation (RCAP) To Contact The Firm
Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in RCS Capital Corporation (“RCS” or the “Company”) (NYSE: RCAP) of the February 27, 2015 deadline to seek the role of lead plaintiff in a federal securities class action lawsuit filed against RCS and certain officers of the Company.
A complaint has been filed in the United States District Court for the Southern District of New York on behalf of all persons who purchased or otherwise acquired RCS securities between February 12, 2014 and October 31, 2014 (the “Class Period”).
The complaint alleges that the Company and its executives violated federal securities laws with respect to its statements concerning its business, operations, and prospects.
Specifically, the action alleges that during the Class Period, RCS misrepresented and/or failed to disclose that: (i) the financial statements of American Realty Capital Properties, Inc. (“ARCP”), a company that is controlled by the same principals who control RCS, were materially false and misleading in connection with an accounting scandal; (ii) the Company’s announced acquisition of Cole Capital Advisors, Inc. (“Cole Capital”) from ARCP was at risk over the accounting scandal; and (iii) the revenue stream derived from RCS’ relationship with ARCP was jeopardized by the accounting scandal.
On November 3, 2014, RCS announced that it had terminated the Cole Capital acquisition.
Following this news, the price of the Company’s stock declined by $2.72 per share, or over 16%, to close on November 3, 2014 at $13.69 per share.
If you invested in RCS common stock, bonds or options between February 12, 2014 and October 31, 2014 and would like to discuss your legal rights, you can contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org. Faruqi & Faruqi, LLP also encourages anyone with information regarding the Company’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
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