SAN DIEGO, Dec. 12, 2016 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed in Michigan for certain investors in Ally Financial Inc (NYSE:ALLY) over alleged Securities Laws violations by Ally Financial Inc in connection with the company’s April 11, 2014 initial public offering.
Investors who purchased shares of Ally Financial Inc (NYSE:ALLY) have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff alleges on behalf of the investors, who purchased Ally Financial Inc (NYSE:ALLY) common shares pursuant or traceable to its initial public offering ("IPO") on April 11, 2014, that the defendants violated the Securities Act of 1933.
On October 31, 2014, Ally Financial Inc disclosed that it received a document request from the U.S. Securities and Exchange Commission (“SEC”) in connection with its investigation related to subprime automotive finance and related securitization activities. In December 2014, Ally Financial Inc revealed that it had received a subpoena from the U.S. Department of Justice as part of an investigation "related to subprime automotive finance and related securitization activities.”
The plaintiff claims that certain Ally Financial Inc officials failed to disclose the severity of rising subprime auto loan delinquency rates, the deficient underwriting measures employed in the origination of its subprime auto loans, and the aggressive tactics used with low-income borrowers in order to raise approximately $2.375 billion in the company's April 2014 IPO.
Shares of Ally Financial Inc (NYSE:ALLY) declined from $25.21 per share in May 2014, respectively $24.95 per share in early September 2014, to as low as $15.73 per share in early 2016.
Those who purchased Ally Financial Inc (NYSE:ALLY) shares have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.