Shareholders Filed a Lawsuit Against Virgin Galactic for Concealing Engineering and Accounting Risks

Court: E.D. New York

Case: 1:21-cv-03070

On May 28, 2021, SPCE shareholders filed a class action against Virgin Galactic, accusing it of concealing that its spacecraft did not match engineering drawings and of accounting misstatements.

What is this lawsuit about?

On August 4, 2022, Virgin Galactic pushed back its commercial flight timeline, admitting that its spacecraft—Eve and Unity—were built differently than their engineering drawings. Analysts later confirmed the discrepancies required structural modifications, especially at the pylon wing attachment points.

Following this, SPCE fell by 17.5%, wiping out significant shareholder value.

What can you do to recover your losses now?

We’re keeping track of all updates and will notify SPCE investors about potential recovery.

More than 600 companies are currently facing securities class action lawsuits, and over 100 are already paying settlements. Connect your brokerage account to automatically check which ones you may have missed.