NEW YORK, July 30, 2020 /PRNewswire/ —
WeissLaw LLP, a national class action and shareholders’ rights law firm with offices in New York, California and Georgia, announces an investigation of Credit Acceptance Corporation (NASDAQ: CACC) (“Credit Acceptance Corp.,” or the “Company”).
If you own Credit Acceptance Corp. shares and wish to discuss this investigation or have any questions concerning this notice or your rights or interests, visit our website:
Or please contact:
Joshua Rubin, Esq.
1500 Broadway, 16th Floor
New York, NY 10036
The investigation focuses on possible breaches of fiduciary duty and violations of the Federal securities laws by Credit Acceptance Corp.’s Board of Directors. Notably, Citron Research published a report alleging that the Company has been concealing “the true volatility of its earnings through aggressive accounting practices.” According to the report, in recent years, Credit Acceptance Corp. has carelessly taken on riskier loans with lower returns, an unsound practice given the recently observed steep upward trend of delinquencies in subprime auto loans. Soon thereafter, the Company announced that it would miss the deadline to timely report its financial results for the quarter ended March 31, 2020. On that news, the Company’s shares tumbled from their April 17, 2020 trading high of $320 to trade for as low as $252.54 per share on April 21, 2020.
WeissLaw is investigating whether Credit Acceptance Corp.’s Board breached its fiduciary duties to the Company and its shareholders by failing to implement and maintain an adequate system of internal controls and by failing to exercise sufficient oversight over the Company’s operations.
WeissLaw LLP has litigated hundreds of stockholder class and derivative actions for violations of corporate and fiduciary duties. We have recovered over a billion dollars for defrauded clients and obtained important corporate governance relief in many of these cases. If you have information or would like legal advice concerning possible corporate wrongdoing (including insider trading, waste of corporate assets, accounting fraud, or materially misleading information) please email us at [email protected]
SOURCE WeissLaw LLP