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Volkswagen AG Class Action Lawsuit - VWAGY

Company Name
Volkswagen AG
Stock Symbol
VWAGY
Class Period
March 29, 2021 to March 30, 2021
Motion Deadline
March 15, 2022
Court
Eastern District of Virginia
53 days left to seek lead plaintiff status

Case Summary

The Volkswagen class action lawsuit seeks to represent purchasers of Volkswagen AG (OTC: VWAGY) American Depositary Receipts (“ADRs”) between March 29, 2021 and March 30, 2021, inclusive (the “Class Period”) and charges Volkswagen, Volkswagen Group of America, Inc., and two of Volkswagen’s top executives with violations of the Securities Exchange Act of 1934.  The Volkswagen class action lawsuit was commenced on January 14, 2022 in the Eastern District of Virginia and is captioned Pheiffer v. Volkswagen AG, No. 22-cv-00045.

If you suffered significant losses and wish to serve as lead plaintiff of the Volkswagen class action lawsuit, please provide your information by clicking here.  You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com.  Lead plaintiff motions for the Volkswagen class action lawsuit must be filed with the court no later than March 15, 2022.

CASE ALLEGATIONS: Volkswagen Group of America, Inc. (“Volkswagen America”) is a wholly-owned subsidiary of Volkswagen AG.  On March 29, 2021, Volkswagen America published a “draft” of a press release announcing its purported name change from “Volkswagen” to “Voltswagen” on its website for a short time.  In response to the name change press release, multiple news agencies reported that they confirmed with Volkswagen insiders that the name change was real. 

The Volkswagen class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) the name “Voltswagen” was never going to be used by Volkswagen’s U.S. subsidiary; (ii) Volkswagen and its spokespeople purposefully misled reporters, even after the reporters’ inquiries about whether the name change was an April Fool’s joke; and (iii) as a result, defendants’ public statements and statements to journalists were materially false and/or misleading at all relevant times.

On March 30, 2021, The Wall Street Journal reported that a Volkswagen spokesman in Wolfsburg, Germany stated that “[t]he whole thing is just a marketing action to get people talking about the ID.4.”  The AP also reported that day that “Volkswagen’s intentionally fake news release” was “highly unusual for a major public company . . . .  In falsely announcing a name change, the company went beyond telling reporters that its news release was legitimate.”  On this news, the price of Volkswagen ADRs declined nearly 4%, damaging investors.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Volkswagen ADRs during the Class Period to seek appointment as lead plaintiff in the Volkswagen 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 Volkswagen class action lawsuit.  The lead plaintiff can select a law firm of its choice to litigate the Volkswagen class action lawsuit.  An investor’s ability to share in any potential future recovery of the Volkswagen 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 that year, more than double the amount recovered by any other securities plaintiffs’ firm.

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