
Zynga must face U.S. lawsuit alleging fraud tied to IPO - jacquesm
http://www.reuters.com/article/2015/03/26/us-zynga-lawsuit-idUSKBN0MM1XP20150326
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tsunamifury
Very curious if this had any correlation with the clawback of pre-IPO shares.
Essentially when Zynga wrecked the last social contract between founders and
workers by taking back pay in the form of shares, they may have been doing it
to restrict the effect of those workers knowledge of falling profits on the
IPO price.

Mark Pincus has done more to hurt the environment of silicon valley than any
figure in my recent memory.

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AVTizzle
Wow, I'd actually forgotten about that clawback, but damn, that was brutal.

Agreed. From an admittedly outsider perspective, the leadership of Zynga just
seems to have exhibited a darkness at every turn.

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x0x0
lie down with dogs, get up with fleas

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kirinan
If they did actually do this, its a death sentence for Zynga. With their
already declining prospects and net loss every quarter, this will drain their
account and remove any route of public funding. This leaves private funding,
and there might be an investor out there willing to go with a private round on
Zynga, but I'd hate to see the terms on the round.

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saosebastiao
They should really be including Pincus as a defendant. There is enough public
knowledge of his shady actions surrounding the IPO that he should personally
be held accountable, as opposed to the company he pumped and dumped.

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hga
They might be waiting for discovery, who knows what that will unearth.

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DonHopkins
One of their whales died, and they didn't disclose it to the SEC.

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BaconJuice
which whale?

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protonfish
Mrs. Elizabeth LeBeau of Mobile Alabama. The 7-11 where she bought her game
cards may also have to close now.

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RickS
A cursory google search didn't turn up anything about this... anywhere I can
read more?

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robwilliams
I think it's a joke about the mobile games industry being dependent on
"whales" (players that spend an absurd amount of money on IAP) and Zynga's
business model being so horrible that one whale dying makes them go out of
business.

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littletimmy
Mark Pincus really should be held accountable for his shady dealings. He is a
general blight on the tech industry.

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chucksmart
Games like Farmville seem like the equivalent of a one-hit-wonder. Not an
Oracle but a Rico Suave. People who invest in a fad should know it will fade.

