RenovaCare, Inc. Class Action Lawsuit - RCAR
- Company Name
- RenovaCare, Inc.
- Stock Symbol
- Class Period
- August 14, 2017 to May 28, 2021
- Motion Deadline
- September 14, 2021
- District of New Jersey
The RenovaCare, Inc. class action lawsuit charges RenovaCare, Inc. (OTC: RCAR) and certain of its top executives with violations of the Securities Exchange Act of 1934 and seeks to represent purchasers of RenovaCare securities between August 14, 2017 and May 28, 2021, inclusive (“Class Period”). The RenovaCare class action lawsuit was commenced on July 16, 2021 in the District of New Jersey and is captioned Boller v. RenovaCare, Inc., No. 21-cv-13766.
If you wish to serve as lead plaintiff of the RenovaCare class action lawsuit, please provide your information by clicking here. You can also contact attorney Jennifer Caringal of Robbins Geller by calling 800/449-4900 or via e-mail at firstname.lastname@example.org. Lead plaintiff motions for the RenovaCare class action lawsuit must be filed with the court no later than September 14, 2021.
CASE ALLEGATIONS: The RenovaCare class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) at the direction of RenovaCare’s controlling shareholder and Chairman, Harmel Rayat, RenovaCare engaged in a promotional campaign to issue misleading statements to artificially inflate RenovaCare’s stock price; (ii) when OTC Markets Group, Inc. inquired, RenovaCare and Rayat issued a materially false and misleading press release claiming that no director, officer, or controlling shareholder had any involvement in the purported third party’s promotional materials; (iii) thus, RenovaCare’s disclosure controls and procedures were defective; and (iv) consequently, defendants’ positive statements about RenovaCare’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
On May 28, 2021, the U.S. Securities and Exchange Commission (“SEC”) issued a litigation release stating that RenovaCare was being charged with alleged securities fraud. According to the SEC’s complaint, between July 2017 and January 2018, Rayat “arranged, and caused RenovaCare to pay for, a promotional campaign designed to increase the company’s stock price.” Specifically, “Rayat was closely involved in directing the promotion and editing promotional materials, and arranged to funnel payments to the publisher through consultants to conceal RenovaCare’s involvement in the campaign.” When OTC Markets Group requested that RenovaCare explain its relationship to the promotion, the complaint alleges that “Rayat and RenovaCare then drafted and issued a press release and a Form 8-K that contained material misrepresentations and omissions denying Rayat’s and the company’s involvement in the promotion.” On this news, RenovaCare’s stock price fell nearly 25% over three consecutive trading sessions, damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased RenovaCare securities during the Class Period to seek appointment as lead plaintiff in the RenovaCare class action lawsuit. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the RenovaCare class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the RenovaCare class action lawsuit. An investor’s ability to share in any potential future recovery of the RenovaCare class action lawsuit is not dependent upon serving as lead plaintiff.
ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: With 200 lawyers in 9 offices nationwide, Robbins Geller Rudman & Dowd LLP is the largest U.S. law firm representing investors in securities class actions. Robbins Geller attorneys have obtained many of the largest shareholder recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. The 2020 ISS Securities Class Action Services Top 50 Report ranked Robbins Geller first for recovering $1.6 billion for investors last year, more than double the amount recovered by any other securities plaintiffs’ firm.