Facebook is being sued after the stock market has been "shocked" :: Kenya

Facebook Inc. (FB.O) and its director Mark Zuckerberg have was sued Friday in what could be the first of many lawsuits on a disappointing earnings announcement by the social media company that has cleared about $ 120 billion of shareholder wealth.
The complaint filed by the shareholder James Kacouris in the federal court of Manhattan accuses Facebook, Zuckerberg and the financial director David Wehner to make misleading statements or not to disclose a slowdown in revenue growth, a decline in operating margins and a drop in active users

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Kacouris said the market was "shocked" when "the truth" began to emerge on Wednesday from the company based in Menlo Park, California. He said that the 19 percent plunge in Facebook's stock the following day stemmed from the violations of federal securities law by the defendants.

The lawsuit seeks clbad action and unspecified damages. A Facebook spokesperson declined to comment.

Shareholders often sue companies in the United States after unexpected stock price declines, especially if the loss of wealth is significant.

Facebook has faced dozens of lawsuits for manipulating user data in a scandal involving British company Cambridge Analytica. Many were consolidated in the federal court in San Francisco.

Thursday's crash also hit Zuckerberg's bottom line.

Zuckerberg was tied with Warren Buffett as the fourth richest person in the world, but the current $ 83 billion fortune of Berkshire Hathaway Inc.'s president (BRKa.N) dominates Zuckerberg's $ 66 billion, according to Forbes magazine.

Buffett now ranks third among the billionaires in the world, while Zuckerberg is sixth.

Facebook shares fell another 0.8% on Friday, closing at $ 174.89 on the Nasdaq.

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The case is Kacouris vs. Facebook Inc. et al, US District Court, Southern District of New York, No. 18-06765.