Zynga has been hit with the first of five expected lawsuits alleging a handful of top executives and investors engaged in insider trading - including CEO Marc Pincus and Google. Following Zynga's IPO in December, employees and investors were "locked up," unable to sell their shares until May 28. Technically. A group of top executives and shareholders hired underwriters to manage the sale of their shares, creating a loophole that allowed them to sell their stock at $12.

By May 28, when initial investors were legally allowed to sell their shares, Zynga stock had fallen to $6. Yesterday, it struck $3. Locked up investors had no opportunity to sell their shares at the same price as the top brass, and the insiders that did "cashed out at exactly the right time," Business Insider's Henry Blodget writes.