‘Roaring Kitty’ Lawsuit: 10 Things We Know About Keith Gill and the GameStop Securities Fraud Allegations

Roaring Kitty, one of the major online players behind the GameStop (NYSE:GME) stock surge, is facing a lawsuit over their part in the drama.

GameStop video game and electronics store logo sign in Bay Terrace, Queens, NY.

Source: quietbits / Shutterstock.com

Here’s everything worth noting about the Roaring Kitty lawsuit.

  • Roaring Kitty is an online alias for Keith Gill.
  • The lawsuit claims that he misrepresented himself as an amateur trader in the Reddit WallStreetBets.
  • Instead, the lawsuit alleges that he’s a professional in the field.
  • That includes citing his several broker licenses and previous employment by Massachusetts Mutual Life Insurance Co.
  • Gill’s part in the GME stock rally saw him posting on various forms of social media, which likely helped build excitement for the shares.
  • The Roaring Kitty lawsuit comes from Christian Iovin.
  • Iovan is a short-seller that purchased $200,000 worth of GME stock at a price of $100 per share.
  • When the stock surged and he had to fulfill the call options for the stock, he incurred massive losses as GME was trading at close to $400 per share.
  • The lawsuit also targets Massachusetts Mutual Life Insurance Co. for not better supervising Gill as one of its employees.
  • Massachusetts Mutual Life Insurance Co. hasn’t commented on the matter.

Gill said the following in a statement to the U.S. House Committee on Financial Services.

“Thank you Chairwoman Waters, Ranking Member McHenry, members of the Committee. Before I go further, I want to be clear about what I am not. I am not a hedge fund. I do not have clients, and I do not provide personalized investment advice for fees or commissions. I am an individual investor. My investment in GameStop and my posts on social media were entirely my own.”

GME stock was down 7.7% as of Wednesday afternoon.

On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.

Article printed from InvestorPlace Media, https://investorplace.com/2021/02/roaring-kitty-lawsuit-10-things-we-know-about-keith-gill-and-the-gamestop-securities-fraud-allegations/.

©2021 InvestorPlace Media, LLC