Mark Zuckerberg is being accused of pulling a Martha Stewart. A new class action lawsuit claims that The Zuck knew that FB stock was grossly overvalued and that he sold a lot of his own stock to protect his money. This is the second time in two weeks that a group of FB shareholders have claimed that Mark withheld information.
According to the lawsuit, FB doesn’t make enough advertising revenue to support a stock valued at $38 a share. Morgan Stanley, JPMorgan and Goldman Sachs all claimed the IPO was seriously overvalued but only the largest investors were informed of it.
What does this mean for one of the wealthiest men in America? I’m thinking celebrity justice will be served.