The Gross Law Firm notifies investors that a class action has commenced in the United States District Court for the Southern District of New York on behalf of shareholders of Gaotu Techedu Inc. who purchased shares between March 22, 2021 and March 29, 2021.
According to the filed complaint, Goldman Sachs Group Inc. and Morgan Stanley sold Gaotu shares while in possession of material non-public information, thus avoiding billions in losses. Specifically, the non-public information that Goldman Sachs and Morgan Stanley possessed was that Archegos Capital Management would need to fully liquidate its position in Gaotu based on margin call pressures. When the market learned the truth, many investors suffered damages.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until December 20, 2021 to request that the court appoint them lead plaintiff.
To receive more information, please fill out the form.