Robinhood is receiving bipartisan criticism after the trading platform restricted trades of GameStop (GME) - Get GameStop Corp. Class A Report, AMC (AMC) - Get AMC Entertainment Holdings, Inc. Class A Report and other names.
"This is unacceptable. We now need to know more about Robinhood's decision to block retail investors from purchasing stock while hedge funds are freely able to trade the stock as they see fit," she tweeted. "As a member of the Financial Services Committee, I’d support a hearing if necessary."
Republican lawmaker Ted Cruz, who’s usually at odds with Ocasio-Cortez, also retweeted Cortez's tweet. Earlier, he slammed Robinhood by posting an older tweet of the company where it said “Let the people trade.”
To make matter worse for Robinhood, the platform has been hit by the class action suit, filed in the Southern District of New York on Thursday.
The lawsuit says, "Robinhood purposefully, willfully, and knowingly removing the stock “GME” from its trading platform in the midst of an unprecedented stock rise thereby deprived retail investors of the ability to invest in the open-market and manipulating the open-market."
"Robinhood’s mission is to democratize finance for all," Alexander G. Cabeceiras, the attorney who filed the suit, said on Twitter," This is simply not true."
Robinhood hasn't publicly responded to the suit yet.
The stock market has been making headlines for past few days due to the unusual spike in stocks like GameStop, AMC and others, fueled by Redditors.