Lawsuits ahoy!
I’m getting tired of typing out MoviePass’ name, so I’ll be keeping this short. The ailing company’s owners, Helios and Matheson Analytics, have posted a massive $126 million ($84 million net) loss for the quarter ending on June 30th. A loss several orders of magnitude over their losses from the same period last year; a comparatively measly $2.7 million. This has prompted shareholders to sue Helios and Matheson.
Defendants carried out a plan, scheme and course of conduct which was intended to and did, deceive the investing public and cause the plaintiff and other members of the class to purchase Helios common stock at artificially inflated prices.
Both of the individual defendants are liable as participants in a fraudulent course of business that operated as a fraud or deceit on purchasers of Helios common stock by disseminating materially false and misleading statements and/or concealing material adverse facts.
So, between the suits, and the constant losses, MoviePass (or rather, Helios and Matheson) is going to be losing money out the ass. I, uh, wouldn’t expect MoviePass to be around much longer.
Source: Engadget
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