Western Union investors may receive additional information about the case by clicking the link "Join this Class Action" above.
According to the complaint, Western Union provides money movement and payment services worldwide. The Company operates in three segments: Consumer-to-Consumer, Consumer-to-Business, and Business Solutions.
The Class Period commences on February 24, 2012, when the Company filed a Form 10-K for the fiscal year ended December 31, 2011 (the “2011 10-K”) with the SEC, which provided the Company’s year-end financial results and position and stated that the Company’s internal control over financial reporting and disclosure controls and procedures were effective as of December 31, 2011. The 2011 10-K further stated that Western Union “believe[s] our fraud prevention efforts are effective and comply with applicable law and best practices,” and also touted Western Union’s global compliance programs, including its anti-money laundering program, and Western Union’s practice of continuing “to adapt our business practices and strategies to help us comply with current and evolving legal standards and industry practices.”
The complaint alleges that Western Union and certain of its executive officers violated the Securities Exchange Act of 1934 by making false and/or misleading statements and/or failing to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, the complaint alleges that defendants made false and/or misleading statements and/or failed to disclose that: (1) Western Union’s fraud prevention efforts did not comply with applicable laws; (2) Western Union willfully failed to maintain an effective anti-money laundering program; (3) Western Union aided and abetted wire fraud; (4) for at least five years, Western Union knew of agents structuring transactions designed to avoid the reporting requirements of the Bank Secrecy Act; (5) Western Union was not compliant with its regulatory responsibilities; (6) between 2004 and 2012, Western Union violated U.S. laws—the Bank Secrecy Act and anti-fraud statutes—by processing hundreds of thousands of transactions for Western Union agents and others involved in an international consumer fraud scheme; (7) Western Union knew of but failed to take corrective action against Western Union agents involved in or facilitating fraud-related transactions; (8) between January 1, 2004 and August 29, 2015, Western Union received at least 550,928 complaints about fraud-induced money transfers, totaling at least $632,721,044; and (9) as a result, Defendants’ public statements were materially false and misleading at all relevant times.
On January 19, 2017, the U.S. Department of Justice issued a release entitled “Western Union Admits Anti-Money Laundering and Consumer Fraud Violations, Forfeits $586 Million in Settlement with Justice Department and Federal Trade Commission.” Following this news, shares of Western Union fell $0.87 per share, or over 3.9%, over two trading days to close at $20.98 per share on January 20, 2017.
If you are a member of the class described above, you may no later than March 27, 2017 move the Court to serve as a lead plaintiff of the class, if you so choose.
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. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-888-299-7706 or 1-610-667-7706, or via e-mail at firstname.lastname@example.org.
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
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Radnor, PA 19087 1-888-299-7706 (toll free) or 1-610-667-7706
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