A lawsuit was filed on behalf of investors in B Communications Ltd (NASDAQ:BCOM) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 08/14/2017 -- An investor, who purchased shares of B Communications Ltd (NASDAQ:BCOM), filed a lawsuit in the York over alleged violations of Federal Securities Laws by B Communications Ltd.
Investors who purchased shares of B Communications Ltd (NASDAQ:BCOM) should contact the Shareholders Foundation at email@example.com or call 858-779-1554.
On or around June 24, 2015, Bezeq The Israel Telecommunication Corporation Limited completed a merger with its subsidiary D.B.S., Satellite Services (1998) Ltd. ("DBS"), more commonly known by its trade name "YES", a satellite television operator. Prior to the merger, Bezeq The Israel Telecommunication Corporation Limited held a 49.8% stake in YES, while Eurocom held a 50.2% stake in the YES.
Pursuant to the merger, Bezeq The Israel Telecommunication Corporation Limited paid Eurocom NIS 680 million to acquire its holdings in YES.
Through his ownership of Eurocom, at all relevant times Elovitch has exercised control over Eurocom, B Communications, and Bezeq The Israel Telecommunication Corporation Limited, and has served at all relevant times as the Chairman of the Board of Directors at each of the three companies.
According to the complaint the plaintiff alleges on behalf of purchasers of B Communications Ltd (NASDAQ:BCOM) common shares between November 7, 2013 and June 19, 2017, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between November 7, 2013 and June 19, 2017, the defendants made false and/or misleading statements and/or failed to disclose that Elovitch had engaged in illegal conduct in connection with the Bezeq-YES Merger, that discovery of the foregoing conduct would subject B Communications and/or Bezeq to heightened regulatory scrutiny and potential criminal sanctions, and that as a result of the foregoing, B Communications' public statements were materially false and misleading at all relevant times.
Israel based B Communications Ltd. is focused on the telecommunications industry. The Company's principal asset is its ownership interest in Bezeq The Israel Telecommunications Corp. Ltd. (Bezeq), a provider of communications services in Israel.
On June 20, 2017, The Times of Israel reported that the Israel Securities Authority ("ISA") raided the offices of B Communications Ltd's subsidiary, Bezeq The Israel Telecommunication Corporation Ltd. ("Bezeq"), and detained Bezeq's controlling shareholder for questioning. Bezeq disclosed that "the ISA has informed the company that the investigation deals with suspicions of violations of the securities law and the penal code relating to transactions connected to the controlling shareholder."
Those who purchased shares of B Communications Ltd (NASDAQ:BCOM) have certain options and should contact the Shareholders Foundation.
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