May 28, 2020 - A second amended complaint was filed.

July 13, 2018 - An amended consolidated complaint was filed.

October 23, 2017 - An investor in shares of Diana Containerships Inc (NASDAQ: DCIX) filed a lawsuit in the U.S. District Court for the Eastern District of New York over alleged violations of Federal Securities Laws by Diana Containerships Inc in connection with certain allegedly false and misleading statements made between January 26, 2017 and October 3, 2017.

Greece based Diana Containerships Inc is a holding company, that, through its subsidiaries, is engaged in the ownership of containerships. Diana Containerships Inc reported that its annual Total Revenue declined from $62.18 million in 2015 to $33.19 million in 2016 and that its Net Loss increased from $17.53 million in 2015 to $149.01 million in 2016.

According to the complaint the plaintiff alleges that Diana Containerships Inc, certain of the Company’s officers and/or directors and Kalani Investments Limited and certain of its affiliates violated Federal Securities Laws. More specifically, the plaintiff claims that between January 26, 2017 and October 3, 2017, the defendant Symeon P. Palios, the Company’s Chief Executive Officer and Chairman of the Board, caused Diana Containerships Inc to engage in a series of manipulative share issuance/sales transactions with Kalani Investments Limited and related entities.

The plaintiff says that the manipulative scheme worked as follows: Through his control of Diana Containerships Inc, Palios caused Diana Containerships Inc, to sell its common shares and securities convertible into common shares to Kalani at a significant discount to market price and to file registration statements so that Kalani could resell these shares into the market. When Kalani’s sales of Diana Containerships Inc stock caused the price of Diana Containerships Inc, stock to decline, the Company would reverse split the stock, causing a certain number of outstanding shares to be merged into a single share, thereby raising the price of Diana Containerships Inc stock. Then Diana Containerships Inc would again sell securities to Kalani and the same pattern of transactions would ensue. According to the complaint, defendants failed to disclose the true purpose of these transactions and the related stock issuances and reverses – to provide Diana Containerships Inc with financing that benefited Palios and his related companies and family members and otherwise funnel money to Company insiders. As a result of defendants’ stock manipulation scheme, the complaint alleges that by October 3, 2017, Diana Containerships Inc, common stock, which traded at a price of more than $2,500 per share on an adjusted basis during the early part en January 26, 2017 and October 3, 2017, was worth only $0.47 per share.