NEW YORK, March 26, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of Robinhood Markets, Inc. (“Robinhood” or the “Company”) (NASDAQ: HOOD). Such investors are advised to contact Danielle Peyton at newaction@pomlaw.com or 646-581-9980, ext. 7980.
The investigation concerns whether Robinhood and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
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On March 7, 2025, the Financial Industry Regulatory Authority (“FINRA”) announced that it “has ordered Robinhood Financial to pay $3.75 million to its customers, and fined Robinhood Financial and Robinhood Securities $26 million for violating numerous FINRA rules, including failing to respond to red flags of potential misconduct.” FINRA accused Robinhood of giving customers inaccurate or incomplete disclosures associated with its practice of so-called “collaring” market order by converting them to limit orders and found that the trading platform failed to create and implement “reasonable anti-money laundering programs, which caused the firms to fail to detect, investigate or report suspicious activity, including manipulative trading, suspicious money movements and instances where customers’ accounts were taken over by third-party hackers.”
On this news, Robinhood’s stock price fell $8.79 per share, or 19.79%, to close at $35.63 per share on March 10, 2025.
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 numerous multimillion-dollar damages awards on behalf of class members. See www.pomlaw.com.
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CONTACT:
Danielle Peyton
Pomerantz LLP
dpeyton@pomlaw.com
646-581-9980 ext. 7980
