The Shareholders Foundation announces that an investor, who purchased shares of General Motors Company (NYSE:GM), filed a lawsuit in the U.S. District Court for the Eastern District of Michigan over alleged violations of Federal Securities Laws by General Motors Company in connection with certain allegedly false and misleading statements made between November 17, 2010 and March 21, 2014.
Investors who purchased a significant amount of shares of General Motors Company (NYSE:GM) between November 17, 2010 and March 21, 2014, and/or those who purchased NYSE:GM shares in 2010 or early 2011 and currently hold any of those shares, have certain options and for certain investors are short and strict deadlines running. Deadline: May 20, 2014. NYSE:GM investors should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges on behalf of all persons or entities who purchased or otherwise acquired securities of General Motors Company (NYSE:GM) between November 17, 2010 and March 21, 2014, that General Motors Company and certain of its officers and directors violated Federal Securities Laws pursuant to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder.
More specifically, the plaintiff claims that the defendants allegedly made false and/or misleading statements and/or failed to disclose that General Motors Company was in breach of applicable industry and government regulations and policies concerning passenger and automotive safety, that General Motors Company was subject to criminal and civil litigation and potentially devastating harm to its reputation and future revenues, that over three million General Motors Company cars contained defects subjecting drivers, passengers and others to devastating, and at times fatal, injuries, that General Motors Company lacked adequate internal controls, that despite defendants’ allegedly knowing of such potential harm to drivers and passengers, as early as 2001, General Motors Company refused to recall such vehicles for a quick and inexpensive fix to the cars’ ignition switches, leading to at least twelve reported deaths and countless injuries, and that as a result of the foregoing General Motors Company’s statements were allegedly materially false and misleading at all relevant times.
On February 7, 2014, General Motors Company notified the National Highway Traffic Safety Administration (“NHTSA”) of its decision to recall 2005-2007 Chevrolet Cobalt and 2007 Pontiac G5 vehicles, due to defects in the manufacturing of their key ignition switches.
On February 24, 2014, General Motors Company expanded the recall to include the 2003-2007 Saturn Ion, 2006-2007 Chevrolet HHR and Pontiac Solstice, and 2007 Saturn Sky. These initial recall announcements included more than 1.65 million vehicles.
On March 11, 2014, General Motors Company sent a letter to the NHTSA detailing the alleged issues with General Motors Company’s ignition switches and submitted a chronology of General Motors Company’s discovery of such problems and failure to properly advise consumers and regulators, leading to various injuries and deaths.
Shares of General Motors Company (NYSE:GM) declined from $41.53 per share in December 2013 to $34.09 per share on March 14, 2014.
General Motors Company reported that its annual Total Revenue rose from over $150.25 billion in 2011 to over $155.42 billion in 2013 while its respective Net Income declined from over $9.19 billion to over $5.34 billion.
On March 31, 2014, NYSE:GM shares closed at $34.42 per share.
Those who purchased shares of General Motors Company (NYSE:GM) have certain options and should contact the Shareholders Foundation.
Contact:
Shareholders Foundation, Inc.
Trevor Allen
3111 Camino Del Rio North – Suite 423
92108 San Diego
Phone: +1-(858)-779-1554
Fax: +1-(858)-605-5739
mail@shareholdersfoundation.com