Ryan & Maniskas, LLP (
) announces that a class action lawsuit has been filed in the U.S. District Court for the Western District of Tennessee on behalf of purchasers of Knight Capital Group, Inc. (NYSE: KCG) (“Knight Capital” or the “Company”) common stock during the period from February 29, 2012 and August 1, 2012, (the “Class Period”).
For more information regarding this class action suit, please contact Ryan & Maniskas, LLP (Richard A. Maniskas, Esquire) toll-free at (877) 316-3218 or by email at
The complaint alleges that Knight Capital and certain of its officers and directors (“Defendants”) misrepresented and/or failed to disclose that: (1) “[m]otivated by changes to NYSE Rules taking effect on August 1, 2012, Knight Capital knowingly introduced unproven electronic trading software packages into the NYSE that destabilized the global equity markets”; (2) Knight Capital knew or should have known that its new electronic trading technology had the potential to engage in large-volume erroneous trading because massive amounts of trades could be placed in seconds; and (3) as a result, when the technology was implemented, Knight Capital erroneously acquired a large volume of stock at unfavorable prices.
On August 1, the price of Knight Capital shares fell from $10.33 to $6.94 after it was reported that the Company had sent an e-mail advising its clients to route orders elsewhere, explaining that it had “experienced a technology issue” in its market-making unit “related to the routing of shares of approximately 150 stocks to the NYSE.” The following day, the Company publicly confirmed the “technology issue” which it said had resulted in a $440 million loss. The price of Knight Capital stock dropped from $6.94 to $2.58 on August 2.
If you are a member of the class, you may, no later than November 2, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Ryan & Maniskas, LLP or other counsel of your choice, to serve as your counsel in this action.