Legal Action Filed Against Zeta Global Holdings Corp: A Deeper Look into the Allegations

Class Action Lawsuit Against Zeta Global Holdings Corp.

On November 30, 2024, Kessler Topaz Meltzer & Check, LLP announced the filing of a securities class action lawsuit against Zeta Global Holdings Corp. (NYSE: ZETA). This legal action comes on behalf of investors who acquired Zeta securities between February 27, 2024, and November 13, 2024. The deadline for appointing a lead plaintiff is set for January 21, 2025.

Allegations of Misconduct

The core of the lawsuit revolves around claims that the defendants made materially false and misleading statements throughout the class period. The complaint further asserts that Zeta failed to disclose critical information about its operational practices, suggesting a troubling pattern of misconduct.

Specifically, the lawsuit alleges that Zeta employed questionable methods to inflate its financial results artificially. These included:
1. Two-way contracts: The use of such contracts reportedly facilitated inflated financial reporting.
2. Round-trip transactions: Zeta is accused of engaging in these transactions to create an illusion of revenue.
3. Predatory consent farms: The firm allegedly relied on these farms extensively to harvest user data, raising ethical concerns about privacy and user consent.
4. Growth dependency: The complaint asserts that the company's growth was primarily driven by these questionable practices rather than genuine business improvements.

These allegations raise significant red flags about the integrity of Zeta’s business operations and management practices. Investors had been led to believe in the company's robust growth and sound operational strategies, only to discover that these statements might have been grounded in misleading information.

The Lead Plaintiff Process

Investors who feel they have incurred losses due to their investments in Zeta are encouraged to consider participating in the class action. By January 21, 2025, affected individuals can opt to become lead plaintiffs. The lead plaintiff serves as a representative for all class members, guiding the course of litigation against the defendants. Typically, this role is filled by the investor or group of investors with the most substantial financial stake and a clear representation of the broader class.

It is crucial to note that while becoming a lead plaintiff allows greater control over the lawsuit, it’s not necessary to do so in order to participate in any settlements that may arise from the class action.

Kessler Topaz Meltzer & Check, LLP encourages all investors who experienced losses in Zeta's stock to reach out for more information on the proceedings and options available.

About Kessler Topaz Meltzer & Check, LLP

Kessler Topaz Meltzer & Check, LLP is a well-regarded law firm known for its commitment to holding corporations accountable for fraud and misconduct. The firm has successfully recovered billions of dollars for victims across various industries, reflecting a strong ethos of protection for investors, consumers, and employees against corporate malfeasance. For more information, interested parties can visit their official website.

This class action against Zeta Global Holdings Corp raises crucial questions about not only the company’s practices but also the oversight and accountability in the corporate world. Investors and stakeholders must remain vigilant as this situation unfolds and seek legal representation whenever their interests have been compromised.