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Kahn Swick & Foti, LLC (“KSF”) and KSF partner, former Attorney General of Louisiana, Charles C. Foti, Jr., remind investors that they have until May 17, 2021 to file lead plaintiff applications in a securities class action lawsuit against Lordstown Motors Corp. (NasdaqGS: RIDE) f/k/a DiamondPeak Holdings Corp.
Lordstown and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On March 12, 2021, pre-market, Hindenburg Research reported that the Company has “no revenue and no sellable product,” and that it “has misled investors on both its demand and production capabilities.” Further, the report noted that the Company’s “orders are largely fictitious and used as a prop to raise capital and confer legitimacy,” and that a former employee “explained how the company is experiencing delays and making ‘drastic’ design modifications, putting [Lordstown] an estimated 3-4 years away from production,” rather than it being “on track” for a September 2021 production start.
Then, on March 17, 2021, post-market, the Company disclosed during an earnings call that it had received an inquiry from the U.S. Securities and Exchange Commission, despite not including that disclosure in its Form 8-K announcing its fourth quarter and full year 2020 financial results, filed after trading closed that same day.
On this news, shares of Lordstown plummeted.
If you purchased shares of Lordstown and would like to discuss your legal rights and how this case might affect you and your right to recover for your economic loss, you may, without obligation or cost to you, contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850 or via email (email@example.com), or fill out the form on this page.
The case is Rico v. Lordstown Motors Corp., et al., 21-cv-00616.
Click here to read the case complaint.