Latest news with #Defendants'
Business Wire
20 hours ago
- Business
- Business Wire
FINAL DEADLINE ALERT: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Red Cat Holdings
NEW YORK--(BUSINESS WIRE)-- Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Red Cat Holdings, Inc. ('Red Cat' or the 'Company') (NASDAQ: RCAT) and reminds investors of the July 21, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. The complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements Share Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Salt Lake City Facility's production capacity, and Defendants' progress in developing the same, was overstated; (2) the overall value of the SRR Contract was overstated; and (3) as a result, Defendants' public statements were materially false and misleading at all relevant times. In March 2022, Red Cat announced that Teal had been selected by the U.S. Department of Defense's Defense Innovation Unit and the U.S. Army to compete in Tranche 2 of the U.S. Army's Short Range Reconnaissance Program of Record (the "SRR Program"). The SRR Program is a U.S. Army initiative to provide a small, rucksack-portable sUAS to U.S. Army platoons. At all relevant times, Defendants suggested or otherwise asserted that the SRR Program's Tranche 2 contract (the "SRR Contract") was worth potentially hundreds of millions to over a billion dollars in contract revenues. In March 2023, Company management confirmed that "[t]he Salt Lake City factory is complete and ready to go" and "[w]e now have the capacity to produce thousands of drones per month." The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Salt Lake City Facility's production capacity, and Defendants' progress in developing the same, was overstated; (ii) the overall value of the SRR Contract was overstated; and (iii) as a result, Defendants' public statements were materially false and misleading at all relevant times. On July 27, 2023, Red Cat hosted a conference call with investors and analysts to discuss its financial and operating results for its fiscal year 2023. During the call, Defendants revealed that the Salt Lake City Facility could only currently produce 100 drones per month, and that the facility was still being built, refined, and expanded. Red Cat filed an annual report on Form 10-K with the U.S. Securities and Exchange Commission the same day, which likewise reported that construction of the facility was only "substantially completed" and potentially could reach a production capacity of one thousand drones per month over the next 2 to 3 years, but only with additional capital investments and manufacturing efficiencies realized. Following these disclosures, Red Cat's stock price fell $0.10 per share, or 8.93%, to close at $1.02 per share on July 28, 2023. On September 23, 2024, Red Cat issued a press release announcing its financial and operating results for the first quarter of its fiscal year 2025. Among other results, the Company reported losses per share of $0.17, missing consensus estimates by $0.09, and revenue of $2.8 million, missing consensus estimates by $1.07 million. On a subsequent conference call that Red Cat hosted with investors and analysts the same day to discuss these results, Company management disclosed that Red Cat had spent "the past four months . . . retooling [the Salt Lake City Facility] and preparing for high volume production[,]" while admitting that a "pause in manufacturing of Teal 2 and building our Army prototypes impacted Teal 2 sales" because, inter alia, Red Cat "couldn't produce and sell Teal 2 units[] while retooling [its] factory." On this news, Red Cat's stock price fell $0.80 per share, or 25.32%, over the following two trading sessions, to close at $2.36 per share on September 25, 2024. On November 19, 2024, Red Cat issued a press release announcing that it had won the SRR Contract. On a subsequent conference call that Red Cat hosted with investors and analysts the same day to discuss the contract win, Defendants continued to assert that the SRR Contract was worth potentially hundreds of millions of dollars, while expressing their confidence that Red Cat could realize up to $50 million to $79.5 million in revenue from the SRR Contract during it fiscal year 2025 alone. Then, on January 16, 2025, Kerrisdale Capital ("Kerrisdale") published a report (the "Kerrisdale Report") alleging, inter alia, that Defendants had overstated the value of the SRR Contract, which Kerrisdale found was only worth approximately $20 million to $25 million based on U.S. Army budget documents. The Kerrisdale Report also alleged that Defendants had been misleading investors about the Salt Lake City Facility's production capacity for years, while also raising concerns about the timing of executive departures and insider transactions that took place shortly after Red Cat announced it had won the SRR Contract. On this news, Red Cat's stock price fell $2.35 per share, or 21.54%, over the following two trading sessions, to close at $8.56 per share on January 17, 2025. The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not. Faruqi & Faruqi, LLP also encourages anyone with information regarding Red Cat's conduct to contact the firm, including whistleblowers, former employees, shareholders and others. To learn more about the Red Cat class action, go to or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). Follow us for updates on LinkedIn, on X, or on Facebook. Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP ( Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
Los Angeles Times
09-07-2025
- Politics
- Los Angeles Times
L.A., other local governments seek to join lawsuit to stop ‘unconstitutional' immigration raids
The city and county of Los Angeles are among the local governments seeking to join a lawsuit calling on the Trump administration to stop 'unlawful detentions' during ongoing immigration sweeps in Southern California. On Tuesday, the governments filed a motion to intervene in a lawsuit brought by the American Civil Liberties Union of Southern California, Public Counsel and immigrant rights groups against the Trump administration last week. The lawsuit claims that the region is 'under siege' by federal agents and aims to stop federal agencies from an 'ongoing pattern and practice of flouting the Constitution and federal law' during immigration raids. 'These unconstitutional roundups and raids cannot be allowed to continue. They cannot become the new normal,' said Los Angeles City Atty. Hydee Feldstein Soto at a press conference Tuesday afternoon. Feldstein Soto was joined by Mayor Karen Bass and officials from other cities also seeking to join the lawsuit. The motion from the local governments comes as the Trump administration's immigration crackdown in Southern California enters its second month. Between June 6 and June 22, federal agents arrested 1,618 immigrants for deportation in Los Angeles and surrounding areas, according to the Department of Homeland Security. 'Day in and day out, there is no telling who these federal agents will target or when they will strike, since they refuse to coordinate with local authorities,' attorney John Schwab, who is representing Los Angeles and other cities, wrote in the motion to intervene. 'All that is certain is that Defendants' aim is to instill maximum fear in ... communities and wreak havoc on the economy of one of the most diverse and vibrant areas in the country.' The motion argues that the immigration raids are obstructing local governments' ability to perform critical law enforcement functions and depriving them of tax revenue due to a slowdown in the local economy. L.A. County and the other cities — Culver City, Montebello, Monterey Park, Pico Rivera, Santa Monica, West Hollywood and Pasadena — hope to become part of the lawsuit at a hearing on Thursday where a judge will consider issuing a temporary restraining order that would bar the administration from making unconstitutional immigration arrests. 'How do we know the difference between this and a kidnapping?' Bass asked at the press conference. In a statement, L.A. County Supervisor Hilda Solis said, 'For the past month, we've seen individuals picked up at car washes and Home Depot parking lots, then simply disappear without warrants, probable cause, or due process ... These actions have created fear, trauma, and instability in our communities. Small businesses are suffering. People are afraid to go to work, take their kids to school, or ride public transportation.' Feldstein Soto stressed that a temporary restraining order would not stop the Trump administration from conducting legal civil immigration enforcement in L.A. In a court filing opposing the temporary restraining order, U.S. Department of Justice attorneys argued that L.A. and the other local governments were trying to 'interfere with the enforcement of federal immigration law.' L.A. officials had already been considering a lawsuit before filing the motion Tuesday. Seven city council members signed onto a proposal asking Feldstein Soto to prioritize 'immediate legal action' to protect the civil rights of Angelenos. Feldstein Soto said her office would soon have more announcements on litigation against the administration. The Trump administration has sued the city of Los Angeles as well, claiming that its sanctuary policy is illegal and discriminates against federal agencies like Immigration and Customs Enforcement. Times staff writer Rachel Uranga contributed to this report
Daily Mirror
04-07-2025
- Entertainment
- Daily Mirror
Viral Dr Phil star Bhad Bhabie hit with £494,000 lawsuit
Once known for her viral 'Cash Me Outside' catchphrase, Bhad Bhabie (Danielle Bregoli) turned online notoriety into a multimillion-dollar empire through music and OnlyFans Danielle Bregoli, better known to the world as rapper and OnlyFans powerhouse Bhad Bhabie, who gained viral fame after her appearance on Dr. Phil, could be facing legal trouble as American Express files a lawsuit against her for a whopping $674,452.40 (£494,030) in alleged unpaid credit card debt. Court documents filed this week show the credit card company is suing the 22-year-old for breach of contract, claiming she defaulted on a credit agreement tied to an account issued in April 2021. The account in question, ending in 5000, allegedly stopped receiving payments around December 19, 2023. 'Plaintiff extended credit to Defendant for purchases and/or cash advances by Defendants and/or persons acting with Defendants' permission on the American Express account...' the legal filing states, according to People. 'Defendant promised to repay Plaintiff for all charges, fees, and interest on the Account by paying the balance in full every month or by making monthly payments.' American Express is now reportedly seeking full repayment of the outstanding balance, along with damages for the alleged breach. Despite the size of the debt, Bregoli dismissed the claims in a blunt statement to The Shade Room, saying: 'S** not true. Where do they get this s*** from?*' The lawsuit comes just days after the influencer and entrepreneur gave an interview to Interview magazine, where she reflected on her controversial success on adult content platform OnlyFans. 'A good way to make a lot of money fast,' she said of the platform, where she reportedly earns nearly $1.5 million a month. Since joining OnlyFans shortly after turning 18, Bregoli has repeatedly claimed she's earned over $75 million, even showing receipts to back up the figure. In 2021, Billboard confirmed she pulled in $1 million within just six hours of launching her account, breaking platform records at the time. Despite her wealth, she admitted to spending heavily on 'properties, cars, and all type of s**.*' Currently, her subscription fee stands at $23.99 (£17.50) per month. Bregoli shot to fame in 2016 when, as a 13-year-old, she appeared on Dr. Phil in a now-infamous episode titled: 'I Want to Give Up My Car-Stealing, Knife-Wielding, Twerking 13-Year-Old Daughter…' During the segment, she clapped back at a laughing audience with the line: 'Catch me outside, how about that?', which quickly went viral as 'cash me ousside, how bout dah.' That moment launched a meme empire, a music career, and eventually a digital empire. But now, despite her millions, Bregoli may be facing some very serious financial woes. The Mirror has contacted Danielle Bregoli's representatives for comment on this story.
Malaysian Reserve
21-06-2025
- Business
- Malaysian Reserve
Faruqi & Faruqi Reminds Red Cat Investors of the Pending Class Action Lawsuit with a Lead Plaintiff Deadline of July 21, 2025
If you purchased or acquired securities in Red Cat between March 18, 2022 and January 15, 2025 and would like to discuss your legal rights, call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). [You may also click here for additional information] NEW YORK, June 20, 2025 /PRNewswire/ — Faruqi & Faruqi, LLP, a leading national securities law firm, is investigating potential claims against Red Cat Holdings, Inc. ('Red Cat' or the 'Company') (NASDAQ: RCAT) and reminds investors of the July 21, 2025 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company. Faruqi & Faruqi is a leading national securities law firm with offices in New York, Pennsylvania, California and Georgia. The firm has recovered hundreds of millions of dollars for investors since its founding in 1995. See As detailed below, the complaint alleges that the Company and its executives violated federal securities laws by making false and/or misleading statements and/or failing to disclose that: (1) the Salt Lake City Facility's production capacity, and Defendants' progress in developing the same, was overstated; (2) the overall value of the SRR Contract was overstated; and (3) as a result, Defendants' public statements were materially false and misleading at all relevant times. In March 2022, Red Cat announced that Teal had been selected by the U.S. Department of Defense's Defense Innovation Unit and the U.S. Army to compete in Tranche 2 of the U.S. Army's Short Range Reconnaissance Program of Record (the 'SRR Program'). The SRR Program is a U.S. Army initiative to provide a small, rucksack-portable sUAS to U.S. Army platoons. At all relevant times, Defendants suggested or otherwise asserted that the SRR Program's Tranche 2 contract (the 'SRR Contract') was worth potentially hundreds of millions to over a billion dollars in contract revenues. In March 2023, Company management confirmed that '[t]he Salt Lake City factory is complete and ready to go' and '[w]e now have the capacity to produce thousands of drones per month.' The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Salt Lake City Facility's production capacity, and Defendants' progress in developing the same, was overstated; (ii) the overall value of the SRR Contract was overstated; and (iii) as a result, Defendants' public statements were materially false and misleading at all relevant times. On July 27, 2023, Red Cat hosted a conference call with investors and analysts to discuss its financial and operating results for its fiscal year 2023. During the call, Defendants revealed that the Salt Lake City Facility could only currently produce 100 drones per month, and that the facility was still being built, refined, and expanded. Red Cat filed an annual report on Form 10-K with the U.S. Securities and Exchange Commission the same day, which likewise reported that construction of the facility was only 'substantially completed' and potentially could reach a production capacity of one thousand drones per month over the next 2 to 3 years, but only with additional capital investments and manufacturing efficiencies realized. Following these disclosures, Red Cat's stock price fell $0.10 per share, or 8.93%, to close at $1.02 per share on July 28, 2023. On September 23, 2024, Red Cat issued a press release announcing its financial and operating results for the first quarter of its fiscal year 2025. Among other results, the Company reported losses per share of $0.17, missing consensus estimates by $0.09, and revenue of $2.8 million, missing consensus estimates by $1.07 million. On a subsequent conference call that Red Cat hosted with investors and analysts the same day to discuss these results, Company management disclosed that Red Cat had spent 'the past four months . . . retooling [the Salt Lake City Facility] and preparing for high volume production[,]' while admitting that a 'pause in manufacturing of Teal 2 and building our Army prototypes impacted Teal 2 sales' because, inter alia, Red Cat 'couldn't produce and sell Teal 2 units[] while retooling [its] factory.' On this news, Red Cat's stock price fell $0.80 per share, or 25.32%, over the following two trading sessions, to close at $2.36 per share on September 25, 2024. On November 19, 2024, Red Cat issued a press release announcing that it had won the SRR Contract. On a subsequent conference call that Red Cat hosted with investors and analysts the same day to discuss the contract win, Defendants continued to assert that the SRR Contract was worth potentially hundreds of millions of dollars, while expressing their confidence that Red Cat could realize up to $50 million to $79.5 million in revenue from the SRR Contract during it fiscal year 2025 alone. Then, on January 16, 2025, Kerrisdale Capital ('Kerrisdale') published a report (the 'Kerrisdale Report') alleging, inter alia, that Defendants had overstated the value of the SRR Contract, which Kerrisdale found was only worth approximately $20 million to $25 million based on U.S. Army budget documents. The Kerrisdale Report also alleged that Defendants had been misleading investors about the Salt Lake City Facility's production capacity for years, while also raising concerns about the timing of executive departures and insider transactions that took place shortly after Red Cat announced it had won the SRR Contract. On this news, Red Cat's stock price fell $2.35 per share, or 21.54%, over the following two trading sessions, to close at $8.56 per share on January 17, 2025. The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not. Faruqi & Faruqi, LLP also encourages anyone with information regarding Red Cat's conduct to contact the firm, including whistleblowers, former employees, shareholders and others. To learn more about the Red Cat class action, go to or call Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). Follow us for updates on LinkedIn, on X, or on Facebook. Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP ( Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
Business Wire
16-06-2025
- Business
- Business Wire
Deadline Soon: NET Power Inc. (NPWR) Investors Who Lost Money Urged To Contact The Law Offices of Frank R. Cruz About Securities Fraud Lawsuit
LOS ANGELES--(BUSINESS WIRE)-- The Law Offices of Frank R. Cruz reminds investors of the upcoming deadline to participate as a lead plaintiff in the securities fraud class action lawsuit filed on behalf of investors who acquired NET Power Inc. ('Net Power' or the 'Company') (NYSE: NPWR) securities between June 9, 2023 and March 7, 2025, inclusive (the 'Class Period'). IF YOU ARE AN INVESTOR WHO LOST MONEY ON NET POWER INC. (NPWR), CLICK HERE TO PARTICIPATE IN THE SECURITIES FRAUD LAWSUIT. What Happened? On November 14, 2023, before market hours, Net Power released its third quarter 2023 financial results, disclosing that due to 'tightness in the global supply chain,' it would be 'incorporating a 12-month cushion into [its] expected schedule' for its first utility-scale plant, Project Permian. The Company stated that it was 'now expecting to achieve initial power generation sometime between the second half of 2027 and first half of 2028,' compared to the initial schedule of having the plant operational by 2026. On this news, Net Power's stock price fell $2.47, or 18.5%, to close at $10.85 per share on November 14, 2023, thereby injuring investors. Then, on March 10, 2025, Net Power released its fourth quarter and full year 2024 financial results, disclosing the Company had 'finalized the Front-End Engineering and Design (FEED) for Project Permian' but the 'cost estimate was significantly higher than expected and, as a result, the Company has paused long-lead releases for the project.' Specifically, the Company revealed it is 'estimating total installed cost will be $1.7 billion to $2 billion.' On this news, Net Power's stock price fell $2.18, or 31.5%, to close at $4.75 per share on March 10, 2025. Then, on April 15, 2025, Net Power announced that its President and Chief Operating Officer and Chief Financial Officer would depart the Company. On this news, Net Power's stock price fell $0.13, or 5.8%, to close at $2.13 per share on April 16, 2025, thereby injuring investors further. What Is The Lawsuit About? The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or 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 that: (1) Net Power was unlikely to complete Project Permian on schedule, and the project was likely to be significantly more expensive than Defendants had represented, because of, inter alia, supply chain issues and numerous site- and region-specific challenges; (2) accordingly, Defendants' projections regarding the time and capital needed to complete Project Permian were unrealistic; (3) the increased time and capital needed to complete Project Permian were likely to have a significant negative impact on the Company's business and financial results; and (4) as a result, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times. If you purchased or otherwise acquired NET Power securities between June 9, 2023 and March 7, 2025, the deadline to seek appointment as the lead plaintiff in the securities fraud class action is June 17, 2025. Contact Us To Participate or Learn More: If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact us: Frank R. Cruz The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 Email us at: info@ Call us at: 310-914-5007 Visit our website at Follow us for updates on Twitter: If you inquire by email, please include your mailing address, telephone number, and number of shares purchased. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
