Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in RYB Education (NYSE:RYB) in connection to alleged violations of securities laws by RYB. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in RYB Education, specifically in its initial public offering on September 24, 2017 as well as on the open market between September 24, 2017 and November 22, 2017.
The class action complaint specifically alleges that during the period in question, RYB might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, namely: that the company had failed to establish and maintain policies and protocols necessary to prevent sexual abuse in its schools; that the company’s failure to address problems in its schools resulted in children being exposed to harm and an unreasonable risk of being harmed; and that consequently the company’s stock traded at inflated prices during the relevant period. News reports surfaced in November 2017 that a group of parents had accused one RYB nursery of abusing children; on that day, the company issued a press release stating that there was a police investigation into “allegations of improper conduct.” On November 27, 2017, the company announced that a teacher at an RYB-operated kindergarten “was detained as a criminal suspect for maltreatment of children in the facility, and the police investigation is continuing.” The company announced that it would dismiss the teacher as well. The class action complaint alleges that when true facts regarding these activities emerged, investors in RYB suffered losses.
According to the Bloomberg, RYB Education is a privately owned preschool and kindergarten education company operating in China. The company “provides training in a variety of subjects and languages, teacher recruitment, guidance, innovative learning, development of children, rating systems, parents consulting, and other services,” according to Bloomberg. It trades on the New York Stock Exchange under the symbol RYB.
A class action lawsuit has already been filed in connection with RYB Education. If you wish to serve as lead plaintiff in the RYB lawsuit, you must move the Court no later than January 26, 2018. If you wish to join the litigation, please contact Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.