After the announcement of Amaya Gaming CEO David Baazov being charged with insider trading, it has now been announced that a class action lawsuit has been filed in the United States against the Canadian company. The charges of insider trading have resulted in negative connotations against Amaya, with the company now facing even more hardships based on alleged insider trading in regards to the purchase of PokerStars and Full Tilt Poker from 2014.

Yesterday, Harvey Weisman, an investor based in Maryland, filed a class action complaint, within the US Southern District of New York. In the complaint, it alleges that Amaya did not disclose the actions of CEO David Baazov, who just announced he has taken a leave of absence indefinitely from his position within the company.

Last week, Baazov, as well as a few others, were charged with insider trading. 23 charges in total were filed, with Baazov being subject to five. The filing by Weisman states that Amaya had a duty to disclose the trading activity of Baazov and they did not, as well as not properly disclosing the deficiencies to their internal controls.

Weisman is claiming that false or misleading statements were made by executives of Amaya which caused the share price of the company to be artificially inflated before they shed more than 1/5 of their value after the AMF charges emerged last week.

The lawsuit lists Amaya Gaming, David Baazov and CFO Daniel Sebag as the defendants. Sebag was not included in the charges from last week but has been identified by the Autorité des marchés financiers as a person of interest when the invesgitaion was launched back in 2014. The investigation started a few months after the acquisition of the Rational Group, parent company to PokerStars and Full Tilt Poker.

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