Twitter Faces $124M Suit For Fake Private Stock Sale

Law360, New York (October 30, 2013, 4:44 PM EDT) -- Twitter Inc. was hit with a $124 million suit in New York federal court Wednesday by Precedo Capital Group Inc. and Continental Advisors SA, which alleged the social media company engineered a failed private sale to boost investor interest in its initial public offering.

In their complaint, Arizona-based broker-dealer Precedo and Luxembourg financial advisory firm Continental said that Twitter never intended to complete the private sale of its stock it had asked them to arrange, causing them to waste millions of dollars promising shares of the...
To view the full article, register now.