PHILADELPHIA, PA / ACCESSWIRE / November 3, 2021 / Kehoe Law Firm, P.C. is investigating potential securities claims on behalf of shareholders of Gaotu Techedu Inc. ("Gaotu Techedu," "Gaotu," or the "Company") (NYSE:GOTU).
On October 20, 2021, a class action lawsuit was filed against Defendants Goldman Sachs and Morgan Stanley (collectively, the "Defendants") in United States District Court, Southern District of New York, based on their alleged, unlawful use of material, non-public information.
According to the class action complaint, the Defendants unlawfully used material, non-public information and "avoided billions in losses by selling shares of Gaotu Techedu . . . to Plaintiff and other unsuspecting and unwitting shareholders, after confidential[ly] learning that Archegos Capital Management . . . failed (or was likely to fail) to meet a margin call, requiring it to fully liquidate its position in the Company."
The class action complaint alleges that the ". . . Defendants sold a large chunk of Gaotu shares during the week of March 22, 2021 while in possession of material, non-public information. According to subsequent media reports, the Defendants unloaded large block trades consisting of shares of Archegos' doomed bets, including billions worth of Gaotu securities, late Thursday, March 25, 2021, before the Archegos story reached the public, sending Gaotu's stock into a complete tailspin . . .."
GAOTU TECHEDU INVESTORS WHO PURCHASED, OR OTHERWISE ACQUIRED, THE COMPANY'S SECURITIES BETWEEN MARCH 22, 2021 AND MARCH 29, 2021 WHO WISH TO DISCUSS KEHOE LAW FIRM'S SECURITIES CLASS ACTION INVESTIGATION OR HAVE QUESTIONS ABOUT POTENTIAL LEGAL CLAIMS ARE ENCOURAGED TO COMPLETE KEHOE LAW FIRM'S SECURITIES CLASS ACTION QUESTIONNAIRE OR CONTACT EITHER JOHN KEHOE, ESQ., (215) 792-6676, EXT. 801, JKEHOE@KEHOELAWFIRM.COM, OR MICHAEL YARNOFF, ESQ., (215) 792-6676, EXT. 804, MYARNOFF@KEHOELAWFIRM.COM, INFO@KEHOELAWFIRM.COM.
Kehoe Law Firm, P.C., with offices in New York and Philadelphia, is a multidisciplinary, plaintiff-side law firm dedicated to protecting investors from securities fraud, breaches of fiduciary duties, and corporate misconduct. Combined, the partners at Kehoe Law Firm have served as Lead Counsel or Co-Lead Counsel in cases that have recovered more than $10 billion on behalf of institutional and individual investors.
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SOURCE: Kehoe Law Firm, P.C.
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https://www.accesswire.com/671068/GAOTU-TECHEDU-INVESTOR-ALERT-Purchasers-Of-Gaotu-Techedu-Securities-Between-March-22-2021-And-March-29-2021-Are-Encouraged-To-Contact-Kehoe-Law-Firm-PC
