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Monster Beverage Stock Fraud Class Action Lawsuit
By Kimberly Mirando
A class action lawsuit has been filed on behalf of investors who purchased common stock of Monster Beverage Corporation (NASDAQ: MNST) between February 23, 2012 and August 9, 2012, accusing the company of failing to disclose its being investigated for alleged false advertising and marketing.
The Monster Beverage securities fraud class action lawsuit accuses the company of violating federal securities law by issuing false and misleading statements during this time period relating to its marketing practices and its operational and compliance policies.
The statements were misleading, the class action lawsuit says, because Monster failed to disclose until August 10, 2012 – after the market closed – that it had received a subpoena from a state Attorney General investigating Monster’s “advertising, marketing, promotion, ingredients, usage and sale of its Monster Energy brand of energy drinks.”
Monster markets and distributes energy drinks, fruit juices, smoothies, juice cocktails, iced teas, lemonades, and still water. The Company distributes its beverages in the United States and overseas.
Following the announcement, the value of Monster’s stock declined significantly.
The Monster stock fraud class action lawsuit is seeking to recover damages caused by the company’s violations of federal securities laws and to remedy shareholders who invested during that time period and suffered losses.
The Monster Beverage Securities Class Action Lawsuit is case no. 12-cv-02058, U.S. District Court, Central District of California.
Were you a victim of stock fraud, securities fraud or investment fraud? You may have a case to file class action lawsuit against the parties responsible. Visit the Securities Fraud, Stock Fraud Investment Class Action Lawsuit Investigation for details.
Updated October 18th, 2012
All securities fraud class action and lawsuit news updates are listed in the Stocks & Securities section of Top Class Actions
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