Kahn Swick & Foti, LLC (“KSF”) and KSF partner Former Attorney General of Louisiana, Charles C. Foti, Esq. announce the commencement of the firm’s securities fraud class action lawsuit against Meta Financial Group, Inc. (“Meta Financial” or the “Company”) (Nasdaq: CASH). The lawsuit was filed today in the United States District Court for the Northern District of Iowa on behalf of purchasers of the common stock of the Company between May 14, 2009 and October 12, 2010, inclusive (the "Class Period"). No class has yet been certified in this action. What You May Do If you are a Meta Financial shareholder and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, e-mail or call KSF Director of Client Relations, Neil Rothstein, Esq. ( firstname.lastname@example.org), toll free at 877-694-9510, or via cell phone any time at 330-860-4092, or KSF Managing Partner, Lewis Kahn ( email@example.com), toll free 1-866-467-1400, ext. 200, or via cell phone any time at 504-301-7900. If you wish to serve as a lead plaintiff in this class action by overseeing lead counsel with the goal of obtaining a fair and just resolution, you must request this position by application to the Court by December 21, 2010. 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. KSF encourages both institutional and individual purchasers of Meta Financial to contact the firm. The ultimate resolution of any securities class action is strengthened through the involvement of aggrieved shareholders and lead plaintiffs who have large financial interests. About the Lawsuit Meta Financial and certain of its Officers are charged with making a series of materially false and misleading statements related to the Company’s business and operations in violation of the Securities Exchange Act of 1934. In particular, the Complaint alleges that On October 12, 2010, Meta Financial filed a report with the Securities Exchange Commission (the “SEC”) announcing that the Office of Thrift Supervision (“OTS”) had advised the Company, as early as October 6, that it has determined that Meta Financial had engaged in “unfair or deceptive acts or practices in violation of Section 5 of the Federal Trade Commission Act and the OTS Advertising Regulation in connection with the Bank’s operation of the iAdvance program, and required the Bank to discontinue all iAdvance line of credit origination activity by October 13, 2010.”
The Company’s report further stated it is anticipated that the discontinuance of the iAdvance program and the potential discontinuance of the tax-related programs (which are subject to OTS approval) “will eliminate a substantial portion of [the Company’s] gross profit (net revenue less direct expenses). In addition, the discontinuance of the iAdvance program may result in elevated rates of nonpayment on outstanding iAdvance loans.” Following the publication of this report, the next trading day, shares of the Company dropped precipitously -- falling over $13.00 per share, to below $20.00 per share -- a decline of over 40%. Shares of META FINANCIAL continue to tumble and closed below $15.00 today.About Kahn Swick & Foti, LLC KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities class action litigation with offices in New York and Louisiana. KSF’s lawyers have significant experience litigating complex securities class actions nationwide on behalf of both institutional and individual shareholders. To learn more about KSF, you may visit www.ksfcounsel.com.