INVESTOR ALERT: Pomerantz Law Firm Reminds Investors the Filing of a Class Action Lawsuit Against Block, Inc.- SQ
PRNewswire 4-Feb-2025 3:05 PM
NEW YORK, Feb. 4, 2025 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Block, Inc. ("Block" or the "Company") (NYSE:SQ). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased.
The class action concerns whether Block and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
You have until March 18, 2025, to ask the Court to appoint you as Lead Plaintiff for the class if you are an investor who purchased or otherwise acquired Block securities during the Class Period. A copy of the Complaint can be obtained at www.pomerantzlaw.com.
[Click here for information about joining the class action]
On February 16, 2024, NBC News reported that federal regulators were probing allegations by two whistleblowers that Cash App, Block's mobile payment service, performed inadequate due diligence on its users—including "'no effective procedure to establish the[ir] identity'"—opening the door to potential money laundering, terrorism financing, and other illegal and illicit activities. Among other allegations, the whistleblowers described Block as operating "'a shadow financial system beyond the reach of regulators," detailing Cash App transactions with entities under sanction by the U.S. Department of the Treasury's Office of Foreign Assets Control, operations known to sell personal information and credit card data for illegal purposes, and offshore gambling sites barred to U.S. citizens.
On this news, Block's Class A common stock price fell $3.84 per share, or 5.53%, to close at $65.64 per share on February 16, 2024.
Then, on May 1, 2024, NBC News reported that federal prosecutors were investigating Block due to allegations by a former employee that the Company had engaged in widespread and years-long compliance lapses at its two main units, Square and Cash App. According to the NBC News report, the employee had provided prosecutors with internal Company documents demonstrating that Block had failed to conduct basic due diligence on its customers, that Square had processed thousands of transactions involving countries subject to economic sanctions (including Cuba, Iran, Russia, and Venezuela), and that Block had processed multiple cryptocurrency transactions for terrorist groups.
On this news, Block's Class A common stock price fell $6.16 per share, or 8.44%, to close at $66.84 per share on May 1, 2024.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See www.pomlaw.com.
Attorney advertising. Prior results do not guarantee similar outcomes.
CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
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SOURCE Pomerantz LLP
