Details of the Allegations

On December 12, 2025, U.S. District Judge Sherilyn Peace Garnett ruled in favor of moving forward with key claims in a securities fraud lawsuit against B. Riley and its co-CEO, Bryant Riley. The lawsuit alleges that from February 2022 to November 2024, B. Riley misled investors by failing to disclose a $200.5 million loan made to Vintage Capital Management, LLC, an entity controlled by Kahn. These undisclosed statements reportedly caused the company's stock to trade at inflated prices.

• Loan Amount: $200.5 million
• Stock Price Decline: B. Riley's stock fell below $6 per share from a high of over $72 in March 2022.
• SEC Involvement: The U.S. Securities and Exchange Commission has subpoenaed documents related to B. Riley's dealings with Kahn.

Implications for B. Riley Financial Investors

As the investigation unfolds, shareholders of B. Riley Financial are encouraged to explore their legal options. The ongoing litigations highlight potential mismanagement and failure to disclose critical financial information to the public, which could have significant implications for investor confidence and stock performance.

Current shareholders are advised to reach out to Schubert Jonckheer & Kolbe LLP through their website for further information and assistance regarding potential claims against the company. You can visit this link for more details.

About Schubert Jonckheer & Kolbe LLP

Schubert Jonckheer & Kolbe LLP is a law firm based in San Francisco. The firm specializes in representing consumers in class action lawsuits and shareholders in derivative actions against corporate officers and directors. They are committed to litigating cases nationwide, providing essential legal support for investors affected by corporate misconduct.

For inquiries, please contact: Dustin L. Schubert
Email: [email protected]
Phone: 415-788-4220