Another Law Firm Takes Aim at Prepaid in the Wake of the Florida Announcement

by Mercator Advisory Group 0

Mobile apps concept in flat design style.

The New York Law Firm of Bronstein, Gewirtz & Grossman, LLC, announced that is it investigating NetSpend Holdings, Inc. in the wake of the Florida Attorney General’s announcement that she was investigating five prepaid companies for possible hidden fees and false representations. This brings the number of law firms investigating Green Dot and NetSpend, the two publicly traded prepaid card companies, to three. For its part, Bronstein Gerwitz is focusing on possible shareholder claims.

Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of the securities of NetSpend Holdings, Inc. (“NetSpend” or the “Company”) (NASDAQGS: NTSP – News), concerning whether the company and certain of its officers and directors have violated federal securities laws.

This latest addition shows that while all prepaid card companies will face trouble if the Florida Attorney General’s investigation turns up anything, nonetheless, Green Dot and NetSpend will face additional pressure from outside sources.

Read the full press release at: http://www.businesswire.com/news/home/20110606007032/en/Bronstein-Gewirtz-Grossman-LLC-Announces-Investigation-NetSpend