SAN DIEGO, Aug. 24, 2021 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed by an investor in E.Merge Technology Acquisition Corp. (NASDAQ: ETAC).
Investors, who purchased shares of E.Merge Technology Acquisition Corp. and continue to hold any of their NASDAQ: ETAC shares, have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
On August 20, 2021, a lawsuit was filed against E.Merge Technology Acquisition Corp. as a nominal defendant, E.Merge Technology Sponsor LLC and others. The plaintiff alleges violations against the Investment Company Act of 1940 (“ICA”) and the Investment Adviser Act of 1940 (“IAA”).
The plaintiff says that E.Merge Technology Acquisition Corp. is an investment company under the ICA because its primary business is to invest in securities, since investing in securities is all the Company has ever done.
The plaintiff claims that rather than pay reasonable fees and structure them in the standardized and transparent ways required by the law, the Company has paid certain defendants in a special class of shares, unavailable to the general public, that gives certain defendants an economic interest equal to at least 20% of the Company’s outstanding equity—and potentially much more.
The plaintiff says that certain defendants received all this for a purchase price of just $25,000 and that the potential value of this compensation could exceed $100 million.
The plaintiff requested that the court enters a declaratory judgment stating that E.Merge Technology Acquisition Corp is an investment company under the ICA and certain Defendants are its investment advisors under the IAA.
Those who purchased NASDAQ: ETAC shares should contact the Shareholders Foundation, Inc.
CONTACT:
Shareholders Foundation, Inc.
Michael Daniels
+1 (858) 779-1554
mail@shareholdersfoundation.com
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. Any referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is only provided as a public service. It is not intended as legal advice and should not be relied upon.
