Last month, U.S. District Judge Royal Furgeson (N.D. Tex.) appointed Girard Gibbs LLP and Zwerling, Schachter & Zwerling LLP as Interim Co-Lead Counsel in the securities class action concerning the purchase of securities issued by certain affiliates of Provident Royalties LLC, including corporations designated as “Provident Royalties” or “Shale Royalties.” The consolidated class action lawsuit (Billitteri v. Securities America Inc., et al) is pending in the U.S. District Court for the Northern District of Texas.
Jonathan Levine of Girard Gibbs stated that individuals were induced to invest in Provident securities based on misleading offering documents that failed to adequately disclose all material facts and potential risks. Specifically, the lawsuit alleges among other things that although the offering documents misrepresented that investors’ funds would be invested in the oil and gas business, investors’ funds were actually being commingled with funds received from other investors in connection with other offerings.
