Investors Alert: Class Action Against RCI Hospitality Holdings

Investors Alert: Participants in RCI Hospitality Class Action

Robbins LLP reminds stockholders that a crucial class action has been initiated for individuals and entities that acquired RCI Hospitality Holdings, Inc. (NASDAQ: RICK) securities within the specified timeframe. The complaint addresses serious allegations that RCI has been involved in improper activities, impacting the value and credibility of its stock.

Overview of the Class Action

Stockholders concerned about their investments in RCI Hospitality Holdings should particularly note that the class period spans from December 15, 2021, to September 16, 2025. This is a pivotal moment for shareholders, as they might be entitled to recover losses incurred during this time. RCI Hospitality operates a chain of establishments across the country, known for their nightlife and entertainment offerings.

The Allegations Against RCI Hospitality

The core of the lawsuit revolves around allegations that RCI Hospitality Holdings failed to disclose significant breaches of legal and financial standards. Notably, there are accusations of tax fraud and bribery aimed at obscuring these illegal activities. On September 16, 2025, news broke that Letitia James, the New York State Attorney General, indicted executives with serious allegations of tax fraud and bribes directed at state tax auditors.

Impact on Shareholders

This shocking revelation caused the company’s stock to plummet significantly, highlighting the risk shareholders are exposed to. Following the announcement, the share price dropped $5.53 or approximately 16%, closing at $28.79. The following day saw an additional decrease of $2.99, finishing at $25.80 per share.

How to Get Involved

Shareholders who are keen to take an active role in the lawsuit and potentially serve as lead plaintiffs should consider submitting their documents to the court. The deadline for this is November 20, 2025. The lead plaintiff will represent the collective interest of all class members during the ongoing litigation.

What Does It Mean to Be a Lead Plaintiff?

Being a lead plaintiff offers individuals a unique opportunity to influence the legal proceedings actively. However, participation is not mandatory for all investors; those who choose not to engage can still maintain their status as absent class members and may qualify for any recovery.

About Robbins LLP

Robbins LLP has established itself as a leader in litigation concerning shareholder rights. Since 2002, the firm’s dedicated team has assisted numerous investors in recovering losses and ensuring corporate governance is upheld. Their commitment lies in holding executives accountable for any wrongdoing.

Potentially affected investors can stay abreast of this lawsuit's progress and other relevant information by signing up for alerts. This ensures that stakeholders are not left in the dark regarding any settlements or corporate misconduct.

Frequently Asked Questions

What is the class action about?

The class action addresses allegations of tax fraud and bribery involving RCI Hospitality Holdings, impacting shareholders who purchased shares during the specified period.

How can I participate in the lawsuit?

Shareholders wishing to serve as lead plaintiffs should file their papers in court by the deadline of November 20, 2025.

What happens if I do not want to participate?

You can remain an absent class member and may still be eligible for recovery without participating in the case.

What is Robbins LLP's role in this situation?

Robbins LLP is representing the interests of shareholders in this class action, providing guidance and legal representation for those affected.

Are there any fees for participating in this class action?

No, representation is on a contingency fee basis, meaning that shareholders do not need to pay any fees or expenses upfront.

About The Author

Even at just 28 years old, Lucas Young has made a name for himself as a writer and financial expert. Lucas is a gifted communicator of difficult financial ideas and has written a number of well-received books and articles that appeal to both new and experienced investors. The financial world has come to rely on his perceptive analysis and useful counsel. Many people have been enabled to make wise investment decisions by Lucas's commitment to financial literacy and his ability to demystify the complexities of the market. Lucas is still dedicated to advising and teaching people on their financial journeys as he shares his knowledge.

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