BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Ryvyl Inc. f/k/a/ Greenbox POS (“Ryvyl” or the “Company”) (NASDAQ: RVYL) securities: (a) pursuant and/or traceable to the registration statement and prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s January 29, 2021 public offering; and/or (b) between January 29, 2021 and January 20, 2023, inclusive (the “Class Period”). Ryvyl investors have until April 3, 2023 to file a lead plaintiff motion.
Investors suffering losses on their Ryvyl investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
On January 20, 2023, after the market closed, Ryvyl announced that its previous financial statements for the year-end and interim periods for fiscal 2021 and 2022 “can no longer be relied upon.” The Company anticipated filing restatements, which will “result in decreases to total revenue, increased net losses, decreases to total assets, and [decrease] total stockholder’s equity.” The Company also disclosed that it had determined “one or more material weaknesses” in its internal control over financial reporting, including a “material weakness related to accounting for certain complex business transactions.”
On this news, Ryvyl’s stock price fell $0.12, or 14.6%, to close at $0.70 per share on January 23, 2023, thereby injuring investors.
The complaint filed in this class action alleges that in the Registration Statement and throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) the Company’s financial statements in 2021 and 2022 contained errors resulting in overstatements of revenue, assets, and stockholders’ equity and understatements of losses; (2) as a result, Ryvyl would restate certain financials; (3) the Company’s internal controls were inadequate; (4) the Company downplayed and obfuscated its internal controls issues; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased Ryvyl securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.