DryShips Inc. (NASDAQ: DRYS) is having an overwhelmingly rough day in the market today, and for good reason. The company has been following unethical practices for quite some time, driving value down for investors while funneling money into the pockets of the CEO and others on the management team. As a result, multiple class action suits have been filed against the company, leading to fear and sending the value of the stock dramatically down. Of course, our partners at Trade Ideas were the first to alert us to today’s declines. At the moment (9:53), DRYS is trading at $1.30 per share after a loss of $1.70 per share or 56.64% thus far today.
DRYS Gets What It Deserves
Through past articles, I’ve worked to inform investors of unethical business practices at DRYS. With toxic financing, largely led by George Economy, the CEO of the company, himself, and various other unethical business practices, money has been funneled out of investor accounts and into the pockets of management, and a massive amount of it.
The company has largely gotten away with doing so as the result of misleading statements to its investors. While making these statements, DRYS has consistently moved forward with reverse stock splits, showing that the picture isn’t quite as pretty as Mr. Economou explained. In fact, this year alone, DRYS has processed a total of 5 reverse splits. However, looking to the past shows that this is just the tip of the iceberg. In fact to put this into perspective, if you own 1,000 shares today, before the first reverse split that took place in 2016, you now only own 0.00008503 shares. While the SEC claims that reverse splits are nothing more than cosmetic, the carnage these actions have created is incredible, causing many to lose more than 99.89% of their entire investment in just months!
If The SEC Doesn’t Play Ball, Class Action Attorneys Will!
Here’s the reality my friends… it is illegal and unethical to make misleading statements to investors, to act without a fiduciary responsibility to your investors, and to do so in an attempt to steal money from your investors and put that money in your pocket. While the SEC hasn’t decided to play ball quite yet, class action attorneys are all over this thing!
In fact, they are already starting to. Over the past few days, class action attorneys have been filing cases against the company. Just to name a few of these, Khang & Khang LLP, The Law Offices of Vincent Wong, and Lund Law PC have all announced class action suits against DRYS for misleading statements and other misrepresentations. However, they all need you to carry out the justice that should have been carried out before. With that said, if you’ve been taken advantage of by DRYS as so many have, I strongly suggest clicking on the links above and becoming part of these cases against the company. If all goes well, this will lead to money finally being funneled out of the slime bag, George Economou’s pockets and back into the investors’ pockets!
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on DRYS. In particular, we’re interested in following the various class action suits and seeing if they cause Economou to pump the brakes on his unethical business practices. While we don’t believe this will be the case, at least investors now have the opportunity to fight to get back at least some of what was lost! Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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