SAN FRANCISCO, April 26, 2016 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, reminds Santander Consumer USA Holdings Inc. (NYSE:SC) investors of the May 17, 2016 lead plaintiff deadline in the securities class action lawsuit related to Santander’s improper accounting and resulting restatements of its financial statements.
If you suffered significant losses because of your purchases of Santander between February 3, 2015 and March 15, 2016 or have information that will help our investigation contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, emailing SC@hbsslaw.com or visiting https://www.hbsslaw.com/cases/SC. The lawsuit was filed in the U.S. District Court for the Northern District of Texas, Dallas Division, and investors have until May 17, 2016 to move the court to participate as a lead plaintiff.
On March 15, 2016, Santander announced it: (1) would not timely file its Form 10-K; (2) violated NYSE Rule 8.01E; and, (3) would restate its financial statements because it improperly estimated credit loss allowance. In response, by March 16, 2016, its stock fell $1.70, or 16%, to $9.00 per share.
On March 31, 2016, Santander disclosed it restated net income (1) for the quarter-ended 12/31/15 to $12 million, or 82% lower than previously reported, (2) 5% lower for each of 2014 and 2015, and (3) 2% higher for 2013.
The class action complaint alleges that Defendants (1) made false and/or misleading statements and/or failed to disclose the Company’s improper estimates of credit loss allowance methodology that, ultimately resulted in restatements, and (2) Defendants’ statements about the Company’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis.
“We believe Defendants’ choice of accounting was not a judgement call. It was a GAAP violation, and when corrected it had a devastating impact on investors,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding Santandar Consumer USA Holdings, Inc. should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email SC@hbsslaw.com.
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