NEW YORK (CelebrityAccess) Helios and Matheson, the parent company of this summer’s horror story MoviePass, is being investigated by the New York Attorney General on allegations it misled investors.
Helios and Matheson, which is based in New York, said in a statement that it is aware of the investigation but that “our public disclosures have been complete, timely and truthful and we have not misled investors.”
The company is facing class action lawsuits filed on behalf of investors claiming it didn’t disclose aspects of a business model that were unsuitable.
HMNY stock, which is on the verge of being de-listed from Nasdaq, is currently trading at $0.018.
Helios & Matheson took out a $6 million loan in August after the MoviePass failed to function properly Aug. 9, which happened to be 24 hours before the launch of “Mission Impossible – Fallout.” Its stock plummeted after a 250-1 reverse stock split.