Fab Universal Corp (AMEX: FU) Investor Securities Class Action Lawsuit 11/18/2013

If you purchased shares of FAB Universal Corp (AMEX: FU), you might have certain options and should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Fab Universal
Case Name: 
Fab Universal Shareholder Class Action Lawsuit 11/18/2013
Case Status: 
Lawsuit Filed
Case Status: 
Settlement Approved
Affected Securities
NYSEMKT: FU
AMEX: FU
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
11/18/2013
Class Period Begin: 
06/15/2012
Class Period End: 
11/21/2013
Court of Filing: 
U.S. District Court for the Southern District of New York
Deadline To File for Lead: 
01/17/2014
Date Settled: 
10/16/2015
Settlement Amount: 
$1,500,000
Deadline to Participate in Settlement: 
01/18/2016
Summary: 

The settlement includes you if you purchased the common stock and/or call option contracts of FAB Universal Corporation, or sold (wrote) put option contracts of FAB Universal Corporation during the period between June 15, 2012 and November 21, 2013, both dates inclusive.

February 6, 2017 - The court ordered the authorization of the distribution of the net settlement fund.

January 28, 2016 - The court approved the settlement and dismissed the action with prejudice.

October 16, 2015 - The court preliminarily approved the settlement.

July 10, 2015 - Parties filed a stipulation of settlement.

August 1, 2014 - The lead plaintiffs filed a consolidated complaint on behalf of investors who purchased FAB Universal Corp (AMEX: FU) common shares between June 15, 2012 and November 21, 2013. The lead plaintiffs allege that the defendants violated the Securities Act of 1933 by issuing false and misleading statements between June 15, 2012 and November 21, 2013.

April 25, 2014 - The lead plaintiffs and lead counsel were appointed and all cases were consolidated.

January 17, 2014 - Lead plaintiff motions were filed.

November 18, 2013 - An investor in shares of FAB Universal Corp (AMEX: FU) filed a lawsuit in the U.S. District Court for the Southern District of New York against FAB Universal Corp over alleged violations of Federal Securities Laws in connection with certain allegedly false and misleading statements made between June 15, 2012 and November 18, 2013.

According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired FAB Universal Corp (AMEX: FU) between June 15, 2012 and November 18, 2013, that FAB Universal Corp and certain of its officers and directors violated the Securities Exchange Act of 1934.

More specifically, the plaintiff alleges that the defendants made allegedly materially false and misleading statements and/or failed to disclose that FAB Universal Corp overstated the number of Intelligent Media Kiosks ("Kiosks") deployed in China, that FAB Universal Corp’s Kiosks were inundated with pirated digital media entertainment, and that a subsidiary of FAB Universal Corp issued RMB 100 million (16.4 million) in bonds to Chinese investors.

FAB Universal Corp reported that its annual Total Revenue rose from $3.11 million in 2011 to $27.46 million in 2012 and that its respective Net Loss declined from $9.49 million to $4.18 million.

Shares of FAB Universal Corp (AMEX: FU) grew from $2.01 per share in July 2012 to as high as $7.82 per share in September 2013.

Then on November 14, 2013, a report was published that alleged that FAB Universal has greatly exaggerated its true financial performance.

Shares of FAB Universal Corp (AMEX: FU) closed on November 19, 2013, at $3.94 per share.