Former United States Securities and Exchange Commission attorney Willie Briscoe, founder of The Briscoe Law Firm, PLLC, and the securities litigation firm of Powers Taylor, LLP announce that the firms are investigating legal claims against the officers and Board of Directors of Zynga, Inc. (“Zynga” or “ZNGA”) (NASDAQ: ZNGA) related to potential securities violations between December 16, 2011 to July 25, 2012 (the “Class Period”).
“Recent revelations about alleged improper business practices and procedures regarding key aspects of Zynga’s business and other misleading financial statements have prompted the firms to investigate possible breaches of fiduciary duties and other violations of state law by Zynga’s officers and directors. Based on our investigation, we are prepared to pursue litigation to preserve the company and the value of Zynga stock for all shareholders,” said shareholder rights attorney Willie Briscoe.
If you are an affected investor and you want to learn more about the lawsuit or join the action, contact Patrick Powers at Powers Taylor, LLP, toll free (877) 728-9607, via e-mail at firstname.lastname@example.org, or Willie Briscoe at The Briscoe Law Firm, PLLC, (214) 706-9314, or via email at WBriscoe@TheBriscoeLawFirm.com. There is no cost or fee to you.
In a recently filed federal class action complaint, Zynga and certain of its officers and directors were charged with violating the Securities Exchange Act of 1934. Specifically, the complaint alleges that during the Class Period, the defendants misrepresented or failed to disclose: (a) the true extent of the current risk of Facebook policy changes on Zynga’s bookings prospects and overall financial condition; (b) Facebook’s changes to its platform and policies would negatively impact current and future prospects; (c) the acquisition of OMGPOP and “Draw Something” could not support the increased bookings and financial forecasts issued on April 26, 2012; and (d) Zynga lacked a reasonable basis for the bookings and EBITDA and financial projections issued during the Class Period. Further, on July 26, 2012, Zynga issued a press release announcing its financial results for the second quarter of 2012, and in response to the announcement, the shares of Zynga dropped by approximately 37%.
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