Pomerantz LLP — a company that specializes in representing the rights of defrauded investors — has filed a class action lawsuit against Silvergate Capital for alleged violations of securities laws.
This action is filed in the United States District of California Southern District on behalf of all persons and entities that purchased or acquired securities of Silvergate between November 9, 2021 and November 17, 2022 (the “Class Period”). brought to court.
The class action complaint alleges that Silvergate Capital violated the Securities Exchange Act of 1934.
“{failure} to disclose false and/or misleading statements and material adverse facts regarding the Company’s business, operations and prospects.”
Additionally, the class action accused Silvergate of failing to disclose:
- “The company’s platform did not have sufficient controls and procedures to detect cases of money laundering.”
- “Silvergate customers were involved in money laundering in excess of $425 million.”
- “{That} company could well have faced regulatory scrutiny and damages, including penalties and reputational damage.”
As a result of the alleged conduct, Silvergate’s Class A common stock price declined significantly on two separate occasions during the Class Period.
Shareholders who purchased Silvergate securities during the class action period must ask the court to name them as lead plaintiffs in the class action by February 6.
