A lawsuit was filed on behalf of investors in Barclays PLC (NYSE:BCS) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 10/13/2022 -- An investor, who purchased shares of Barclays PLC (NYSE: BCS), filed a lawsuit in the U.S. over alleged violations of Federal Securities Laws by Barclays PLC in connection with certain allegedly false and misleading statements.
Investors who purchased shares of Barclays PLC (NYSE: BCS) have certain options and for certain investors are short and strict deadlines running. Deadline: November 22, 2022. NYSE: BCS investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
Barclays has disclosed that starting on February 18, 2021, Barclays Bank PLC ("BBPLC"), a wholly owned subsidiary of Barclays, issued and sold approximately $17.64 billion in unregistered securities over and above the maximum amount of securities registered in two BBPLC shelf registration statements. Barclays has also admitted that "by virtue of the fact that the over-issuance occurred and was not immediately identified, both [Barclays] and BBPLC had a material weakness in relation to certain aspects of their internal control environment and, as a consequence, their internal control over financial reporting for the year ended 31 December 2021 was not effective." As a result of the over-issuance, Barclays has restated its financial statements included on its Annual Report on Form 20-F for the year ended December 31, 2021. BBPLC has also commenced a rescission offer for the unregistered securities.
On Monday March 28, 2022, when, before the trading market for Barclays ADRs opened for the day, Barclays PLC disclosed the over-issuance for the first time, and informed investors that BBPLC had issued approximately $15.2 billion in unregistered securities in excess of the maximum amount of securities registered in an August 2019 shelf registration statement, that BBPLC would commence a rescission offer for those unregistered securities, and that Barclays expected the rescission losses to be c.£450m (approximately $589.5 million).
On July 28, 2022, before the trading market for Barclays ADRs opened for the day, Barclays PLC announced that BBPLC had also over-issued unregistered securities in excess of the maximum amount of securities registered in a second BBPLC shelf registration statement, and that Barclays had provisioned "£1,592m [approximately $1.940 billion] (December 2021: £220m) related to the overissuance of structured notes and £165m [approximately $201 million] December 2021: nil) related to liabilities that could be incurred arising out of ongoing discussions in respect of a potential SEC resolution."
Shares of Barclays PLC (NYSE: BCS) declined from $12.20 per share on January 14, 2022, to as low as $6.32 per share on September 29, 2022.
The plaintiff claims that between February 18, 2021 through March 25, 2022, the Defendants made materially false and misleading statements or omitted material information (a) in Barclays reported financial statements (which have been restated), (b) by stating that Barclays internal controls over financial reporting were effective (which Barclays has admitted were not effective and had a material weakness), and (c) by failing to disclose the over-issuance, and that BBPLC was violating U.S. securities laws and/or SEC regulations, subjecting Barclays to legal liability.
Those who purchased shares of Barclays PLC (NYSE: BCS) have certain options and should contact the Shareholders Foundation.
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About The Shareholders Foundation
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.