Robinhood Hit With Class-Action Lawsuit After Blocking GameStop and Other Stocks
- 3 years ago
Robinhood Hit With Class-Action Lawsuit After Blocking GameStop and Other Stocks.
On Thursday, trading app Robinhood stopped investors from buying stock in GameStop, AMC, American Airlines and more.
The company cited the "recent volatility" caused in large part by Reddit investors and other individuals jumping on the bandwagon.
Hours later, a class-action
lawsuit was filed by
Brendan Nelson in New York.
The lawsuit claims Robinhood removed the option to buy those stocks “purposefully
and knowingly to manipulate the market.”.
According to Nelson's lawyer,
Alexander Cabeceiras,
“hundreds of individuals” are
“reaching out to be added to this suit.” .
Many other prominent figures expressed
their anger toward Robinhood's actions.
New York Rep. Alexandria Ocasio-Cortez said she would “support a hearing if necessary.”
On Thursday, trading app Robinhood stopped investors from buying stock in GameStop, AMC, American Airlines and more.
The company cited the "recent volatility" caused in large part by Reddit investors and other individuals jumping on the bandwagon.
Hours later, a class-action
lawsuit was filed by
Brendan Nelson in New York.
The lawsuit claims Robinhood removed the option to buy those stocks “purposefully
and knowingly to manipulate the market.”.
According to Nelson's lawyer,
Alexander Cabeceiras,
“hundreds of individuals” are
“reaching out to be added to this suit.” .
Many other prominent figures expressed
their anger toward Robinhood's actions.
New York Rep. Alexandria Ocasio-Cortez said she would “support a hearing if necessary.”