SAN DIEGO, March 19, 2013 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of purchasers of ITT Educational Services, Inc. (ESI) common stock during the period between April 22, 2010 and February 25, 2013, over alleged violations of Federal Securities Laws by ITT Educational Services, Inc. in connection with certain allegedly false and misleading statements in regards to ITT Educational Services' compliance with relevant accounting standards when reporting its risk-sharing activities in its PEKAS Private Student Loan Program.
If you purchased a significant amount of common stock of ITT Educational Services, Inc. (ESI) between April 22, 2010 and February 25, 2013, and / or if you purchased ESI shares in 2010 or earlier and currently hold any of those shares, you have certain options and you should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The plaintiff alleges that ITT Educational Services, Inc. and certain of its officers and directors violated the Securities Exchange Act of 1934.
More specifically, the plaintiff claims the defendants issued between April 22, 2010 and February 25, 2013 materially false and misleading statements regarding ITT Educational Services' business and financial results in press releases, analyst conference calls and filings with the Securities and Exchange Commission ("SEC"), specifically with respect to the Company's compliance with relevant accounting standards when reporting its risk-sharing activities in loan programs.
The plaintiff says that as a result of defendants' statements, ITT Educational Services, Inc. stock traded at inflated prices between April 22, 2010 and February 25, 2013, reaching a high of $112.69 on April 22, 2010.
Then on February 22, 2013, ITT Educational Services filed its annual report. ITT Educational Services disclosed that it was being investigated by SEC concerning the company's involvement in some private student-loan agreement. ITT Educational Services said it received a subpoena from the SEC on February 8, 2013. The subpoena issued by the SEC requested documents related to a 2009 loan risk-sharing agreement and its PEAKS Private Student Loan Program.
Shares of ITT Educational Services, Inc. declined to as low as $12.36 on March 4, 2013.
The plaintiff seeks to recover damages.
Those who purchased shares of ITT Educational Services, Inc. have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
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