500.com has notified investors that a class action lawsuit has been filed against the company.

500.com and some of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.

On December 31, 2019, the Company disclosed that it had formed a Special Investigation Committee to investigate illegal money transfers and the extent of the involvement of its consultants after the arrests of one current consultant and two former consultants, as well as the resignation of its Chairman of the Board, and the temporary departure of its Chief Executive Officer pending the outcome of the internal investigation.