BOSTON, Feb. 9, 2011 (GLOBE NEWSWIRE) -- Gilman and Pastor, LLP announces that a lawsuit seeking class action status has been filed in the United States District Court for the Western District of Texas on behalf of purchasers of the securities of Life Partners, Inc. ("Life Partners" or the "Company") (Nasdaq:LPHI) between May 29, 2007 and January 20, 2011, inclusive (the "Class Period") seeking to pursue remedies under the Securities Exchange Act of 1934.
The Complaint alleges that LPHI, throughout the Class Period, made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Life Partners made false and/or misleading statements and/or failed to disclose: (1) that the Company had routinely used unrealistic life expectancy data that produced inaccurate short life expectancy reports, which were subsequently used to sell life settlement policies to investors; (2) that the Company had purposely concealed the historical rate in which individuals insured by life settlement policies sold by Life Partners had lived past the life expectancy rates previously provided to investors, such that the Company's investors were unable to assess the accuracy or reliability of such data; (3) that by underestimating life expectancy data to investors, the Company was able to charge substantially larger fees when brokering life settlement policies; and (4) that the Company's revenues had been significantly increased through the employment of such business practices.
After this news was released, Life Partners' shares declined $2.58 per share, more than 17% to close on January 20, 2011. As a result of Defendants' wrongful acts and omissions and the decline in the market value of the Company's securities, Plaintiff and Class members have suffered significant losses and damages.
If you purchased or otherwise acquired LPHI shares during the Class Period, between May 29, 2007 and January 20, 2011, and either lost money on the transaction or still hold the shares, you may contact Gilman and Pastor by no later than April 4, 2011 to discuss your rights, including as to the recovery of your losses, or to obtain additional information, at www.investment-losses.com, by email at kgilman@gilmanpastor.com or by calling toll-free (888) 252-0048. If you are a member of the class and meet certain legal requirements, you may move the Court, no later than April 4, 2011, to serve as lead plaintiff. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
Gilman and Pastor, LLP is one of the country's premier national law firms that represents institutional and individual investors in class actions, complex securities and corporate governance litigation. The firm has been a champion of investor rights for over 30 years and has been recognized for its reputation for excellence by the courts. You may retain Gilman and Pastor without any financial obligation or any cost to you, or you may retain other counsel of your choice.