N@N

Robbins Geller Rudman & Dowd LLP Files Class Action Suit against Meta Financial Group, Inc.

^{Published on 2010-11-06 08:36:21 - Market Wire}
 

SAN DIEGO--([ BUSINESS WIRE ])--Robbins Geller Rudman & Dowd LLP (aRobbins Gellera) ([ http://www.rgrdlaw.com/cases/metafinancial/ ]) today announced that a class action has been commenced in the United States District Court for the Northern District of Iowa on behalf of purchasers of Meta Financial Group, Inc. (aMeta Financiala) (NASDAQ:CASH) common stock during the period between May 14, 2009 and October 15, 2010 (the aClass Perioda).

If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from October 22, 2010. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiffa™s counsel, Darren Robbins of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at [ djr@rgrdlaw.com ]. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at [ http://www.rgrdlaw.com/cases/metafinancial/ ]. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

The complaint charges Meta Financial and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Meta Financial, through its wholly-owned banking subsidiaries, provides a range of financial services.

The complaint alleges that during the Class Period, defendants issued materially false and misleading statements regarding the Companya™s business and financial results. Specifically, defendants failed to disclose that the Company had engaged in unfair or deceptive acts or practices in violation of Federal Trade Commission (aFTCa) and Office of Thrift Supervision (aOTSa) laws and regulations in connection with the Companya™s operation of its highly profitable iAdvance program. As a result of defendantsa™ false statements, Meta Financial stock traded at artificially inflated prices during the Class Period, reaching a high of $36.72 per share on August 23, 2010.

On October 12, 2010, Meta Financial reported that it had received a Supervisory Directive issued by the OTS in relation to its iAdvance program. According to the OTS Directive, the Company had engaged in unfair or deceptive acts or practices in violation of FTC and OTS laws and regulations. Furthermore, per the Directive, the Company had to seek written approval from the OTS prior to entering into any new third-party agreements. After this news, Meta Financiala™s stock collapsed $10.98 per share to close at $22.25 per share on October 13, 2010, a one-day decline of 33% on high volume. Then on October 18, 2010, Meta Financial announced that the Company had sought prior approval from the OTS to enter into new third-party agreements but the OTS had denied its request and informed the Company that the OTS would not allow the Company to enter into any new agreements in the foreseeable future. On this news, Meta Financial stock dropped $4.24 per share to close at $14.71 per share on October 18, 2010, a one-day decline of 22% on high volume.

Plaintiff seeks to recover damages on behalf of all purchasers of Meta Financial common stock during the Class Period (the aClassa). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

Robbins Geller, a 180-lawyer firm with offices in San Diego, San Francisco, New York, Boca Raton, Washington, D.C., Philadelphia and Atlanta, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations. The Robbins Geller Web site ([ http://www.rgrdlaw.com ]) has more information about the firm.