Robbins Geller Rudman & Dowd LLP Announces Prospect for Traders with Considerable Losses to Direct the DraftKings Inc. Course Motion Lawsuit

SAN DIEGO, July 26, 2021 (Globe NEWSWIRE) — Robbins Geller Rudman & Dowd LLP announces the filing of the DraftKings course motion lawsuit, which fees DraftKings Inc. (NASDAQ: DKNG) and certain of DraftKings and Diamond Eagle Acquisition Corp.’s (“DEAC”) major executives with violations of the Securities Exchange Act of 1934 and seeks to characterize purchasers of DraftKings securities among December 23, 2019 and June 15, 2021, inclusive (the “Class Period”). The DraftKings class action lawsuit (Rodriguez v. DraftKings Inc. f/k/a Diamond Eagle Acquisition Corp., No. 21-cv-05739) was commenced on July 2, 2021 in the Southern District of New York and is assigned to Choose Paul A. Engelmayer.

If you endured sizeable losses and wish to serve as guide plaintiff of the DraftKings class action lawsuit, you should offer your facts by clicking here. You can also make contact with legal professional J.C. Sanchez of Robbins Geller by contacting 800/449-4900 or through e-mail at [email protected]. Lead plaintiff motions for the DraftKings course action lawsuit have to be submitted with the courtroom no later than August 31, 2021.

Situation ALLEGATIONS: DraftKings was incorporated in Nevada as DEAC NV Merger Corp., a wholly owned subsidiary of its authorized predecessor, DEAC, a special reason acquisition business, or SPAC. On April 23, 2020, DEAC consummated transactions and, in connection therewith, DraftKings obtained all of the issued and remarkable share funds of SBTech (World-wide) Minimal (“SBTech”). SBTech grew to become a wholly owned subsidiary of DraftKings.

The DraftKings course motion lawsuit alleges that, throughout the Class Period, defendants produced untrue and misleading statements and unsuccessful to disclose that: (i) SBTech had a history of illegal operations (ii) accordingly, DraftKings’ merger with SBTech uncovered DraftKings to dealings in black-marketplace gaming (iii) this enhanced DraftKings’ regulatory and criminal risks with regard to these transactions (iv) as a result, DraftKings’ revenues were, in element, derived from unlawful carry out and as a result unsustainable (v) accordingly, the positive aspects of the SPAC merger ended up overstated and (vi) as a result, DraftKings’ public statements were materially fake and misleading at all suitable situations.

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On June 15, 2021, Hindenburg Analysis revealed a report concerning DraftKings, alleging that DraftKings’ merger with SBTech exposed DraftKings to dealings in black-sector gaming. Citing “conversations with multiple former employees, a overview of [U.S. Securities and Exchange Commission and] international filings, and inspection of again-close infrastructure at illicit intercontinental gaming web-sites,” Hindenburg alleged that “SBTech has a long and ongoing document of functioning in black markets,” estimating that 50% of SBTech’s income is from markets where gambling is banned. On this information, DraftKings’ inventory price tag fell more than 4%, harming investors.

Robbins Geller Rudman & Dowd LLP has launched a dedicated SPAC Task Power to guard investors in blank check firms and search for redress for corporate malfeasance. Comprised of expert litigators, investigators, and forensic accountants, the SPAC Process Force is devoted to rooting out and prosecuting fraud on behalf of wounded SPAC investors. The increase in blank examine funding poses exclusive threats to traders. Robbins Geller Rudman & Dowd LLP’s SPAC Job Drive represents the vanguard of ensuring integrity, honesty, and justice in this promptly building financial commitment arena.

THE Guide PLAINTIFF Method: The Non-public Securities Litigation Reform Act of 1995 permits any investor who obtained DraftKings securities in the course of the Course Interval to seek out appointment as direct plaintiff in the DraftKings class action lawsuit. A direct plaintiff is frequently the movant with the biggest financial curiosity in the aid sought by the putative class who is also regular and enough of the putative course. A direct plaintiff functions on behalf of all other class members in directing the DraftKings course action lawsuit. The guide plaintiff can select a legislation company of its alternative to litigate the DraftKings course action lawsuit. An investor’s capacity to share in any prospective foreseeable future restoration of the DraftKings class action lawsuit is not dependent on serving as direct plaintiff.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: With 200 legal professionals in 9 workplaces nationwide, Robbins Geller Rudman & Dowd LLP is the premier U.S. legislation agency representing investors in securities class actions. Robbins Geller attorneys have acquired many of the largest shareholder recoveries in historical past, like the premier securities course motion recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. The 2020 ISS Securities Class Motion Expert services Top 50 Report rated Robbins Geller initial for recovering $1.6 billion for buyers past year, extra than double the amount of money recovered by any other securities plaintiffs’ organization. Please check out https://www.rgrdlaw.com/business.html for far more data.

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