SAN DIEGO, Aug. 3, 2019 /PRNewswire/ -- Shareholder
rights law firm Johnson Fistel, LLP reminds investors that a class
action lawsuit has been filed against National General Holdings
Corp. (NASDAQ: NGHC) ("National General") on behalf of
all purchasers of common stock during the period between
August 6, 2015 and August 9, 2017, inclusive (the "Class
Period").
If you wish to serve as a lead plaintiff you must move the Court
no later than September 23,
2019. If you wish to discuss this action, have any
questions concerning this notice, or your rights or interests,
please contact lead analyst Jim
Baker (jimb@johnsonfistel.com) at 619-814-4471. If you
email, please include your phone number.
Additionally, you can [click here to join this
action]. There is no cost or obligation to you.
The complaint filed in this class action alleges that throughout
the Class Period, Defendants made materially false and misleading
statements, as well as failed to disclose material adverse facts
about the Company's business, operations, and prospects.
Specifically, Defendants failed to disclose to investors: (1) that
the Company was perpetrating a massive forced-placed collateral
protection insurance ("CPI") scheme to fraudulently saddle its own
customers with unwanted and unneeded automobile insurance policies
that it had underwritten; (2) that the Company's illicit conduct in
foisting unwanted and unneeded automobile insurance on its
customers had resulted in some of the victims being declared
delinquent, suffering adverse impacts to their creditworthiness,
and having their cars improperly repossessed; (3) that the Company
was exposed to an extreme risk of regulatory scrutiny, legal risks,
and reputational harm as a result of its participation in the
forced-placed CPI scheme; (4) that the Company had failed to
maintain effective internal controls over its financial reporting,
including by failing to maintain formal documentation sufficient to
reasonably ensure the accuracy of internal reporting and accounting
procedures across much of its business, including with respect to
insurance policy premiums; (5) that the Company's reported
quarterly revenues and policy premiums were in part the product of
a fraudulent forced-placed insurance scheme and were therefore
artificially inflated and unsustainable; and (6) that the Company
had in fact lost substantial business with Wells Fargo because
Wells Fargo had terminated the forced-placed CPI scheme after
concluding it posed excessive reputational risk and legal
exposure.
If you are a long-term shareholder of National
General continuously holding shares before August 6, 2015, you may have standing to hold
National General harmless from the alleged harm caused by the
officers and directors of the Company by making them personally
responsible. You may also be able to assist in reforming the
Company's corporate governance to prevent future
wrongdoing.
[click here to join this action]. There is no cost or
obligation to you.
About Johnson Fistel,
LLP:
Johnson Fistel, LLP is a nationally
recognized shareholder rights law firm with offices in California, New
York and Georgia. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits. For more
information about the firm and its attorneys, please visit
http://www.johnsonfistel.com. Attorney advertising. Past results do
not guarantee future outcomes.
Contact:
Johnson Fistel, LLP
Jim Baker, 619-814-4471
jimb@johnsonfistel.com
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SOURCE Johnson Fistel, LLP