PHILADELPHIA, May 10, 2024 (GLOBE NEWSWIRE) -- The law firm of Barrack, Rodos & Bacine announces that a class action lawsuit has been filed on behalf of investors in Globe Life Inc. (NYSE: GL) who purchased the stock between May 8, 2019 and April 10, 2024 (the “Class Period”).
If you purchased Globe Life shares during the Class Period and sustained a loss on your investment, you are encouraged to contact us about your rights in this matter and the possibility of leading this class action lawsuit.
You may contact the firm at this webpage, or by calling Linda Border or Mark Stein at 877-386-3304, or via email at investoralert@barrack.com.
McKinney, Texas-based insurance company Globe Life has boasted of its revenue growth, particularly by its wholly owned subsidiary, American Income Life Insurance Co. (AIL), the revenue from which accounted for about half of Globe Life’s profits in 2022 and 2023. Globe Life also proclaimed that its employees follow a Code of Conduct that expressly prohibits an assortment of misconduct and which requires employees to comply with industry regulations and laws.
On April 11, 2024, an investment research firm published a report alleging that Globe Life had engaged in insurance fraud on a massive scale, including the underwriting of insurance policies for dead or fictitious people and adding policies to existing customers’ accounts without their knowledge or consent. The report alleges that the misconduct and fraud were reported to management, but that these reports were ignored. On this news, Globe Life’s share price fell $55.76 per share, or over 53%, to close at $49.17 on April 11, 2024.
On April 23rd, Globe’s CEO, Frank Svoboda, told investors that the company had received subpoenas from the U.S. Attorney’s Office for the Western District of Pennsylvania in late 2023 “seeking documents related to sales practices from certain licensed insurance agents contracted to sell American Income policies.”
Investors have until July 1, 2024 to submit a motion for consideration to be appointed as lead plaintiff. Your ability to participate in any recovery does not, however, require that you serve as lead plaintiff.
Barrack, Rodos & Bacine has more than four decades of experience prosecuting securities law class actions, including cases involving accounting fraud and insider trading, and has achieved some of the largest recoveries in U.S. history of securities litigation. The firm's largest recoveries on behalf of investors include $6.19 billion for WorldCom investors, $3.32 billion for Cendant investors, $1.05 billion for McKesson investors, and $970.5 million for AIG investors.
