Recovery of damages in connection with the fall of shares on the stock exchange

Are you a shareholder? Large or small shareholder? Did the company’s stock fall? Then our new service is For you!

You are a shareholder or trader of a company that is traded on an exchange in the United States or Russia. Nothing is foreshadowed by troubles or downgrades of the stock, financial markets are stable, digging is growing, its profits are also good, reporting is good, progressive and only up. The forecasts of the company’s management are optimistic, the multipliers are at a good level. And then one day the company’s shares fall in a few minutes, hours or half a trading day by tens of percent.
This happens because of regulatory checks, information from the company itself in recognizing fraud in the reporting or other investigation that indicates that the company misled its shareholders, “drew” good numbers in the reporting or otherwise manipulated the share price, commercial data. and this led to the growth of the company, and the subsequent unexpected fall led to large losses to shareholders due to a sharp drop in the company’s capitalization.

Losses consist in the fact that the share price of the company may not return to its original value at all or even lead to delisting of the company from the exchange, and you, as a shareholder, will not receive anything. Therefore, the only way out is to go to court and claim damages from the company and its owners.

In case of misstatement of the financial statements, the company’s management always knows or should know about it, so recovery of losses has prospects. Recovery of losses is possible not only from the company itself, but with the subsidiary responsibility of the company’s management – the head, his deputies, the chief accountant and, possibly, the lawyer. In this case, losses can be recovered from the personal property of the head of the company, the financial or executive director.

In Russia, such claims are not common, but the more companies will go on the stock exchange, the more financial literacy and access to placement on the stock exchange, the more such claims will be, including collective ones. Since the placement of a company on the stock exchange does not mean that it is honest and there can be no persons who want to manipulate the market of its shares.

But the statement of such claims in russia is possible now. These claims can also be filed in the United States if the company is traded on an American stock exchange.

To file a claim to the court for recovery of losses, it is enough not only to violate the law, but also to violate the rules of the exchange. Since according to the rules of the exchange (virtually any) – each public company traded on the exchange is required to reliably disclose information that may affect its valuation, and therefore the value of shares, on the decision to buy or sell shares of the company. That is, by such actions, shareholders were misled and made the wrong decision to buy shares that fell, which caused losses.

Independent investigations by lawyers, criminal prosecution by law enforcement agencies, and even more often inspections by regulators – the securities commission in the United States or central banks-are often good evidence of such violations.

Therefore, if there is such an investigation, it will help shareholders recover losses.

For example, Qiwi’s shareholders in Russia and the United States found themselves in this position. And the first claims for damages from the company and its owners have already been filed.

If you, as a shareholder, have suffered losses of any company, in connection with the provision of false reports or other violations, then write to us a@szagaynov.ru. We will take steps to collect evidence, consult and file a claim in Russia or the United States.