Apr 13, 2022 | Blog, Shareholder Investigations
Kehoe Law Firm, P.C. is investigating whether certain directors and officers of TransUnion (NYSE: TRU) breached their fiduciary duties to TransUnion and its shareholders.
TransUnion shareholders who have held their TransUnion stock for at least a year or more are encouraged to CLICK HERE to contact Kehoe Law Firm, P.C. and provide details of their TransUnion holdings.
TransUnion shareholders should be aware that the Consumer Financial Protection Bureau (“CFPB”) announced the filing of a lawsuit against TransUnion, two of its subsidiaries, and executive John Danaher for violating a 2017 law enforcement order. The order was issued to stop TransUnion from engaging in deceptive marketing regarding its credit scores and other credit-related products.
After the order went into effect, TransUnion, according to the CFPB continued its unlawful behavior, disregarded the order’s requirements, and continued employing deceitful digital dark patterns to profit from customers. The CFPB’s complaint also alleges that TransUnion violated additional consumer financial protection laws.
Apr 12, 2022 | Blog, Shareholder Investigations
Did Fusion Acquisition’s Board of Directors or Executive Officers Breach Their Fiduciary Duties to Fusion’s Shareholders?
Kehoe Law Firm, P.C. is investigating whether certain directors and officers of Fusion Acquisition Corp. (“Fusion”), now known as MoneyLion Inc. (“MoneyLion”) (NYSE: ML), breached their fiduciary duties to Fusion’s shareholders.
INVESTORS OF FUSION STOCK PRIOR TO THE MERGER WITH MONEYLION WHO CONTINUE TO HOLD MONEYLION STOCK SHARES ARE ENCOURAGED TO CLICK HERE TO CONTACT KEHOE LAW FIRM, P.C. AND PROVIDE DETAILS OF THEIR MONEYLION/FUSION SECURITIES.
The investigation concerns whether Fusion’s board of directors or executive officers breached their duties of disclosure, requirements to act in good faith, and whether former Fusion’s shareholders suffered damages as a result.
On September 21, 2021, Fusion shareholders of record as of September 2, 2021, approved a merger between Fusion and MoneyLion. MoneyLion has reported that it is under investigation by numerous federal and state regulators. Immediately after the merger, MoneyLion’s stock price dropped significantly.
At the close of trading on April 12, 2022, the stock price of MoneyLion was $2.12 per share.
FORMER INVESTORS OF FUSION ACQUISITION SECURITIES WHO CONTINUE TO HOLD MONEYLION STOCK MAY HAVE LEGAL CLAIMS AND ARE ENCOURAGED TO CONTACT MICHAEL YARNOFF, ESQ., (215) 792-6676, EXT. 804, [email protected], [email protected], TO DISCUSS THE INVESTIGATION AND POTENTIAL LEGAL CLAIMS.
Apr 11, 2022 | Blog, Shareholder Investigations
Anaplan Shareholders May Have Legal Claims in Connection with the Announced Buyout of Anaplan by Thoma Bravo
Kehoe Law Firm, P.C. is investigating whether the directors of Anaplan, Inc. (“Anaplan”) (NYSE: PLAN) breached their fiduciary duties to its shareholders in approving a buyout with Thoma Bravo LP for inadequate consideration.
ANAPLAN SHAREHOLDERS ARE ENCOURAGED TO CLICK HERE TO CONTACT KEHOE LAW FIRM AND PROVIDE INFORMATION ABOUT THEIR ANAPLAN SECURITIES.
On March 20, 2022, Anaplan announced it had reached an agreement to be bought out by Thoma Bravo for $66.00 per share, in an all-cash transaction valued at $10.7 billion.
The investigation concerns whether Anaplan’s board of directors failed to maximize the value of Anaplan for the benefit of Anaplan’s shareholders in connection with its announced buyout by Thoma Bravo, in breach of their fiduciary duties to Anaplan’s shareholders, and whether Anaplan’s shareholders have suffered damages as a result.
Anaplan shareholders are also encouraged to contact John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected], [email protected], to discuss the investigation and for a no-obligation evaluation of potential legal claims.
Apr 9, 2022 | Blog, Overtime & Wages
Three More San Diego-area Customs Warehouses Found Paying Workers in Mexican Pesos at a Rate of $2.50 Per Hour in Violation of the Fair Labor Standards Act. Federal court orders the customs warehouses to pay almost $2M in back wages, penalties.
Since the investigation of Premar Global Warehouse Logistics in September 2021, Wage and Hour Division investigators of the U.S. Department of Labor (“DOL”) have found three more San Diego-area customs warehouses paying workers in Mexican pesos at an equivalent rate of as little as $2.50 per hour in violation of the Fair Labor Standards Act (“FLSA”).
Based on these investigations, the DOL’s Office of the Solicitor reached consent judgments against the three employers, Columbia Export Group PDSA, OMG Global Logistics and Atlas Freight Forwarding, resulting in the U.S. District Court for the Southern District of California ordering the companies to pay nearly $2 million combined in minimum and overtime back wages to 108 workers.
The companies have also been ordered to pay $56,675 in penalties given their reckless disregard of the FLSA’s minimum wage and overtime requirements.
DOL investigators determined Columbia Export Group PDSA, OMG Global Logistics, and Atlas Freight Forwarding engaged in similar schemes to exploit workers and circumvent the FLSA, including using affiliates in Mexico to pay their employees as if they worked in Mexico, not in the United States.
Findings of the U.S. Department of Labor investigations
- A.G.A. Investments II Inc. – operating as Columbia Export Group – and owner Arturo Ruffo denied federal minimum wages and overtime premiums to employees crossing the border every day to work at the company’s Otay Mesa warehouse. The court ordered the defendants to pay $267,408 in minimum wages and $648,269 in overtime to 60 employees, and $34,958 in penalties. Columbia Export Group has locations in Ensenada, Tijuana, La Paz, San Jose del Cabo and Cabo San Lucas.
- OMG Freight Forwarders, OMG Global Logistics and owner Oscar Mayer paid workers crossing from Mexico to work at the company’s Otay Mesa warehouse below minimum wage and denied overtime for hours worked beyond 40 in a workweek. The employer paid the shortchanged workers through an affiliate’s payroll in Mexico as direct deposit in Mexican pesos. The company paid employees as little as $2.50 per hour. The court ordered the company to pay $233,141 in minimum wages and $588,932 in overtime to 31 employees, and $10,921 in penalties.
- Atlas Freight Forwarding Inc. of San Diego paid workers at its Otay Mesa warehouse at a flat rate and in Mexican pesos for all hours worked. The company used the payroll of its Tijuana-based Coordinadora de Servicios Aduanales Atlas to process the payments. The court ordered the company to pay $111,584 in minimum and overtime back wages to 13 employees, and $10,790 in penalties.
Source: U.S. Department of Labor
Apr 7, 2022 | Blog, Shareholder Investigations
Mullen Automotive Investors with Financial Losses Encouraged to Contact Kehoe Law Firm, P.C. – Mullen Automotive is “Another Fast Talking EV Hustle,” According to Hindenburg Research.
Kehoe Law Firm, P.C. is investigating potential securities claims on behalf of investors of Mullen Automotive, Inc. (“Mullen Automotive” or the “Company”) (NASDAQ: MULN).
Investors of Mullen Automotive with investment losses are encouraged to contact Kehoe Law Firm, P.C. and provide details of their stock losses by CLICKING HERE.
In an April 6, 2022 research report, “Mullen Automotive: Yet Another Fast Talking EV Hustle,” Hindenburg Research reported, among other things, that “Mullen is an aspiring EV manufacturer that came public in late 2021 via reverse merger. It has yet to produce a sellable vehicle.”
Hindenburg Research also reported that “[d]espite only spending ~$3 million in R&D in 2021, Mullen claims its solid-state battery technology is on track for commercialization in 18 to 24 months, putting it head of every major technology and automaker in the industry who have collectively invested billions on solving the problem.”
According to Hindenburg Research, “Mullen recently press released an update on its battery testing, sending its stock soaring 145% in a day. In reality, the ‘news’ appears to be a rehash of testing the company had already announced in 2020[,] and “Mullen apparently misrepresented the test results, according to the CEO of the company that performed the tests. Its CEO told [Hindenburg Research] of Mullen’s press release: ‘We never would have said that. We never did say it and certainly wouldn’t have said it based on the results of testing that battery.'”
Additionally, Hindenburg Research reported that it has “. . . seen this story before, but Mullen strikes us as one of the worst. With echoes of Nikola, Lordstown, Kandi and Ideanomics, we think Mullen is just the latest in a long line of EV hustles.”
On this news, Mullen Automotive’s stock price dropped significantly and was down during intraday trading on April 7, 2022.
Mullen Automotive shareholders are also encouraged to contact John Kehoe, Esq., (215) 792-6676, Ext. 801, [email protected], [email protected], to discuss the securities investigation and for a free, no-obligation evaluation of potential legal claims.
Apr 6, 2022 | Blog
Research Suggests Deceptive Industry Practices Drive Cycles of Costly Reborrowing
A report published by the Consumer Financial Protection Bureau (“CFPB”) shows few payday loan borrowers are benefiting from no-cost extended payment plans, which are required to be offered to borrowers in the majority of states that do not prohibit payday lending.
Instead of using the payment plans, borrowers continue to pay for costly loan rollovers. While no-cost extended payment plans are meant to help borrowers exit the cycle of rollovers and fees, the payday business model continues to depend on high rollover rates and fees.
Rollover fees are a strong incentive for lenders to keep borrowers in the dark about no-cost extended payment plans. The CFPB’s supervision of the industry has found some payday lenders have deceived struggling borrowers by misrepresenting or withholding information about their payment options.
CFPB Report Found Substantial Differences Among the 16 States that Require Lenders to Offer No-cost Payment Options, as Follows:
- State no-cost extended payment plans vary substantially. Typical features include disclosure of the right to elect an extended payment plan at the time borrowers enter into a payday loan agreement, the requirement that an extended payment plan be repaid in several installments, and that there be no additional fees charged for an extended payment plan.
- Usage rates for extended no-cost extended payment plans are low in all states. Even in Washington state, which has perhaps the most borrower-friendly extended payment plan, the usage rate is a small fraction of all payday borrowers, 13.4%. States, such as Florida, with more restrictive requirements, have even lower usage rates.
- The pandemic has affected payday loan volumes, but not no-cost extended payment plan usage. Nationally, payday loan volume declined in 2020 from 2019 by as much as 65%, while payment plan usage rates remained unchanged. However, there was variation within states. California, for example, saw payment plan enrollment more than double.
CLICK HERE to read “Market Snapshot: Consumer use of State payday loan extended payment plans.”
CLICK HERE to read “What can I do if I can’t repay my payday loan?”
Source: Consumerfinance.gov
