San Diego, Sept. 26, 2011 (Shareholders Foundation) -- A long term investor in NASDAQ:PNSN filed a lawsuit against directors of Penson Worldwide, Inc. over alleged breaches of fiduciary duties.
According to the complaint the plaintiff alleges that certain directors of Penson Worldwide breached their fiduciary duties owed to PNSN stockholders by hiding $43million in bad loans, which caused the shares to fall substantially when the truth came out.
The lawsuit by a current long term PNSN stockholder against the directors over alleged breaches of fiduciary duties follows an earlier lawsuit filed by investors who only purchased NASDAQ: PNSN shares between February 10, 2011 and August 4, 2011. The plaintiff in that lawsuit alleges that Penson Worldwide, Inc violated federal securities laws, specifically Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5,by issuing a series of material misrepresentations to the market which had the effect of artificially inflating the market price.

During the first months of 2011 PNSN shares reached over $7 per share.

Then on May 9, 2011 Penson Worldwide, Inc filed its quarterly report with the U.S. Securities and Exchange Commission. In the report Penson Worldwide, Inc disclosed, among other things, that: “With respect to the Nonaccrual Receivables, at March 31, 2011, […] approximately $42.6 million were collateralized by bonds issued by the Retama Development Corporation (“RDC”) and certain other interests in the horse racing track and real estate project […] financed by the RDC’s bonds.
In each case these are owned by customers and pledged to the Company and/or its affiliates.

Certain related parties to the Company own approximately $14.7 million of RDC bonds that are pledged to the Company and/or its affiliates […].”

Then on May 12, 2011 PNSN stock fell to $2.74 per share after Penson Worldwide, Inc announced that on the same day Mr. Thomas R. Johnson delivered notice of his immediate resignation as a member of the Board of Directors of Penson Worldwide, Inc. Penson Worldwide, Inc disclosed that “based on Mr. Johnson’s position as chief executive officer of Call Now, Inc, a holder of a portion of the Retama related collateral, both Mr. Johnson and the Company felt it appropriate for him to resign his position at this time.” Philip A. Pendergraft, Chief Executive Officer of Penson Worldwide, Inc said in the May 12 announcement that they “believe the activity of the Company’s stock related to the Retama related collateral is unwarranted.” And that they hope this news release will aid in putting this issue to rest”.

Shares of Penson Worldwide, Inc. (Public, NASDAQ:PNSN) closed on May 13, 2011 at $3.34 per share and traded recently at $1.75 per share.