According to the Complaint, Paysign, Inc. purports to provide prepaid card programs and processing services under the PaySign brand to corporations, government agencies, universities, and other organizations. The Company changed its name from 3PEA International Inc. to Paysign, Inc. on April 23, 2019.

The Complaint alleges that Defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) Paysign’s internal control over financial reporting was not effective; (2) Paysign’s information technology general controls were not effective; and (3) as a result, Defendants’ statements about its business, operations, and prospect, were materially false and misleading and/or lacked a reasonable basis at all relevant times.

On December 2, 2020, the Court issued an Order consolidating cases and appointing Lead Plaintiffs and Counsel. All future docketing was ordered to be done in the lead case 20-CV-00553.

Lead Plaintiffs filed a consolidated amended Complaint on January 12, 2021. Defendants filed a Motion to Dismiss the consolidated amended Complaint on March 15. On February 9, 2023, the Court issued an Order granting in part and denying in part Defendants' Motion to Dismiss.

The parties entered into a Stipulation and Agreement of Settlement on December 15, 2023. The Court granted preliminary approval of the Settlement on January 4, 2024.