#United States #New York #Securities Fraud #Zeta Global #Pomerantz LLP

Shareholder Alert: Pomerantz Law Firm's Class Action Lawsuit Against Zeta Global Holdings Corp

On December 3, 2024, Pomerantz LLP announced the filing of a class action lawsuit against Zeta Global Holdings Corp, traded under the NYSE symbol ZETA. This significant litigation brings to light allegations of securities fraud and other questionable business practices by the company and its executives.

Overview of Allegations

The class action targets investors who purchased or acquired Zeta's securities during a specified period, urging them to reach out to Pomerantz’s Danielle Peyton for further details on joining the legal proceedings. Investors have until January 21, 2025, to act if they seek to be appointed Lead Plaintiff in this case.

The legal action follows a scathing report published on November 13, 2024, by market research firm Culper Research, which outlined potentially deceptive practices by Zeta regarding its data collection methods. This report contended that the company's financial integrity was compromised due to two primary issues: unethical contractual agreements and deceptive consumer data acquisition methods.

According to the findings, Zeta allegedly engaged in 'two-way' contracts with third-party consent farms. In such arrangements, the company operates both as a supplier and as a buyer of consumer data, artificially inflating its reported revenue and engaging in what could be termed ‘round-tripping’ of revenue.

Furthermore, the report claimed that Zeta's primary source of customer data emanates from misleading websites designed to lure unsuspecting consumers into sharing their personal information under false pretenses. Allegations even suggested that Zeta operates phony job boards that exploit individuals’ job-seeking efforts to gather personal information, contributing to almost all of its reported growth.

Impact on Stock Prices

The fallout from these allegations was immediate and severe. Following the publication of the report, Zeta’s stock suffered a major blow, plunging by $10.46 (or 37.07%) to close at $17.76 on the day of the news.

About Pomerantz Law Firm

Pomerantz LLP, founded over 85 years ago, is recognized as a leading law firm in corporate, securities, and antitrust class action litigation. The firm prides itself on its long history of advocating for class members who have suffered from securities fraud and corporate misconduct. With offices around the globe, including in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, Pomerantz has recovered billions in damages for its clients.

As this case unfolds, it could have significant implications for both Zeta and its investors. The firm is committed to pursuing justice for those affected by potential violations of securities laws.

For any shareholders looking to explore their options in this class action or seeking further information, Pomerantz encourages reaching out to Danielle Peyton at [email protected] or contacting their office at 646-581-9980, toll-free at 888.4-POMLAW, Ext. 7980.