RCS Capital Sees No Impact From Allegations On Its Business Model

(RTTNews) - RCS Capital Corp. (RCAP) Thursday sought to clarify media speculation that its Chairman Nicholas Schorsch, ex-chairman of American Realty Capital Properties (ARCP), had tried to manipulate ARCP's quarterly financial results through two executives.

In a statement, Michael Weil, Chief Executive Officer of RCS Capital, said, "...There have been no reported accounting irregularities at RCS Capital, none, and the recent unfounded allegations reported in the press in connection with our Chairman, Nicholas S. Schorsch, should not have any material impact on the long-term strength of our business model or our operating results."

Weil said the fundamentals driving the success of its business remain strong and unchanged, and the company's confidence in its long-term prospects is resolute.

The stock plunged 15.4 percent to $9.95 on Thursday.