Federman & Sherwood Announces the Filing of a Securities Class Action Lawsuit
against Genworth Financial, Inc.
Oklahoma City, OK (August 20, 2014) – On August 19, 2014, a securities class action lawsuit was filed in the United States District Court for the Southern District of New York against Genworth Financial, Inc. (NYSE: GNW). The complaint alleges violations of federal securities laws, Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, including allegations of issuing a series of material or false misrepresentations to the market which had the effect of artificially inflating the market price during the Class Period, which is December 4, 2013 through July 29, 2014. More specifically, this litigation was filed because, throughout the class period above, Genworth Financial failed to disclose to the investing public that: (1) the Company’s long term care insurance claims were increasing in number and size; (2) in order for the Company to meet the demands of these increased claims the Company would have to increase its reserves; and
(3) because of the foregoing, the Company’s statements about its business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis during the class period. After market close on July 29, 2014, Genworth issued a press release announcing that its LTC insurance division suffered from higher than expected losses due to the increased number and size of LTC insurance claims being filed. The Company also announced that it was conducting a comprehensive review of the adequacy of its claim reserves. On this news, Genworth shares declined over 14% to $2.28 per share, and closed at $13.98 per shares on July 30, 2014.
Plaintiff seeks to recover damages on behalf of all Genworth Financial, Inc. shareholders who purchased common stock during the Class Period and are therefore a member of the Class as described above. You may move the Court no later than Monday, October 20, 2014 to serve as a lead plaintiff for the entire Class. However, in order to do so, you must meet certain legal requirements pursuant to the Private Securities Litigation Reform Act of 1995.
To join this class action, click here to obtain an investor certification. Once complete, please email this form to email@example.com, fax to us at (405) 239- 2112 or send by regular mail to Federman & Sherwood, 10205 North Pennsylvania Avenue, Oklahoma City, OK 73120, ATTN: Lynn.
Posted on Wed, August 20, 2014
by K. Lynn Nunn