An investigation on behalf of investors in Zhangmen Education Inc. (NYSE:ZME) shares over possible breaches of fiduciary duty by certain officers and directors was announced.
San Diego, CA -- (SBWIRE) -- 03/24/2022 -- Certain directors of Zhangmen Education Inc. are under investigation concerning potential breaches of fiduciary duties.
Investors who are investors in Zhangmen Education Inc. (NYSE: ZME) shares, have certain options and should contact the Shareholders Foundation at email@example.com or call +1(858) 779 - 1554.
The investigation by a law firm for investors in NYSE: ZME stocks follows a lawsuit filed against Zhangmen Education Inc. over alleged securities laws violations. The investigation on behalf of current long term investors in NYSE: ZME stocks, concerns whether certain Zhangmen Education directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for the Southern District of New York the plaintiff alleges that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that the IPO Registration Statement did not disclose that: the authorities of the People's Republic of China were in the process of implementing radical new regulatory reforms in the private education industry in porcelain including, among others, prohibitions on: (i) obtaining profits by private educational companies, (ii) participating in tutorials of the basic curriculum on weekends and holidays, and (iii) raising capital by companies like Zhangmen Education; (b) it was reasonably likely that the known risks, events and uncertainties noted in the Registration Statement would have a material adverse effect on the business of Zhangmen Education; and (c) based on the foregoing, the statements in the Registration Statement regarding historical financial performance, market demand and industry trends of Zhangmen Education were materially incomplete, inaccurate and misleading.
Those who purchased shares of Zhangmen Education Inc. (NYSE: ZME) have certain options and should contact the Shareholders Foundation.
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