Stay updated with breaking news from Zoya qaiyum. Get real-time updates on events, politics, business, and more. Visit us for reliable news and exclusive interviews.
An investor in Rocket Companies Inc. which operates Rocket Mortgage, Rocket Homes, and Rocket Auto filed a derivative lawsuit accusing the company’s founder and chairman of insider trading, claiming he sold $500 million in stock last year based on “material, non-public information about Rocket.” The 40-page complaint, first reported by Reuters news service, was filed Monday in the Court of Chancery in Delaware by shareholder Christopher Vargoshe. It names Rocket Chairman Daniel GIlbert and Rock Holdings Inc. (RHI) as defendants. ....
ADVERTISEMENT Mortgage Lender Rocket Hit With Investor Action In Mich. Law360 (July 1, 2021, 6:35 PM EDT) Online mortgage lender Rocket Companies Inc. has been hit with a proposed class action in Detroit federal court accusing the company of misleading investors about a key metric of the company s financial performance on the heels of its August 2020 initial public offering. In a complaint filed Tuesday, investor Zoya Qaiyum accused the company of failing to disclose that a range of factors had impacted the company s so-called gain on sale margins, which Qaiyum said investors use to measure Rocket s profitability. Qaiyum claims that in May, when the company announced that that metric had a 239 basis point decline year-over-year, trading. ....
View Comments Detroit-based Rocket Companies was hit Tuesday with a shareholder lawsuit accusing the firm and its executives of giving misleading guidance that the suit says artificially boosted Rocket s stock price in the weeks before founder Dan Gilbert sold $500 million in stock to finance a major philanthropic effort in the city s neighborhoods. The lawsuit, filed in U.S. District Court in Detroit, claims that Rocket executives were extremely optimistic to the point of deception and fraud earlier this year when forecasting the anticipated gain on sale margin for its mortgage loans. The gain on sale margin is commonly viewed by investors as a core measure of profitability. ....