Law Offices of Howard G. Smith, representing investors of Green Dot Corporation (“Green Dot” or the “Company”) (NYSE:GDOT), announces that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of all purchasers of Green Dot securities between January 26, 2012 and July 26, 2012, inclusive (the “Class Period”). The Class Action Complaint alleges violations of federal securities laws against the Company and certain of its executive officers.
Green Dot provides widely distributed, low cost banking and payment solutions to a broad base of domestic consumers. Green Dot's products and services include General Purpose Reloadable (“GPR”) prepaid cards. The Complaint alleges that throughout the Class Period the defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about Green Dot’s business, operations and prospects. Specifically, the Complaint alleges that the defendants made false and/or misleading statements and/or failed to disclose: (1) that the Company’s new internal risk policies and procedures were negatively impacting Green Dot’s growth in new account activations; (2) that certain of Green Dot’s retailers were planning to start selling competitive GPR products in addition to the Company’s products; (3) that the Company lacked historical data to accurately predict how other retailers’ sales of competitive GPR products would impact Green Dot’s sales; and (4) that, as a result of the foregoing, the defendants’ positive statements about Green Dot’s business, operations and prospects, as well as those regarding Green Dot’s revenue outlook for the 2012 fiscal year, lacked a reasonable basis.
No class has yet been certified in this action. Until a class is certified, you are not represented by counsel unless you retain one. If you purchased Green Dot securities between January 26, 2012 and July 26, 2012, you have certain rights, and have until September 25, 2012 to move for lead plaintiff status. To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.