NEW YORK, July 5, 2022 /PRNewswire/ -- Pomerantz LLP is investigating claims on behalf of investors of Ebix, Inc. ("Ebix" or the "Company") (NASDAQ: EBIX). Such investors are advised to contact Robert S. Willoughby at firstname.lastname@example.org or 888-476-6529, ext. 7980.
The investigation concerns whether Ebix and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On June 16, 2022, Hindenburg Research published a report entitled "Ebix: This House of 'Cards' Seems To Have a Glaring Fake Revenue Problem" (the "Hindenburg Report"). The Hindenburg Report asserted, among other things, that "[i]n February 2021, Ebix's auditor, RSM, resigned because Ebix wouldn't provide evidence regarding 'unusual transactions related to the Company's gift card business in India'"; that "corporate records reveal that the unusual transactions seem to have accelerated since the auditor's resignation"; that Ebix appeared to have misrepresented the existence and/or sales of its EbixCash retail distribution network; and that "virtually ever claimed feature" of the Company's app "didn't work". The Hindenburg Report stated that "[w]e think a substantial portion of EbixCash's gift card revenue is non-existent."
On this news, EbixCash's stock price fell $8.81 per share, or 37.65%, to close at $14.59 per share on June 16, 2022.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Paris is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
Robert S. Willoughby
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SOURCE Pomerantz LLP