Business & Finance
Business and Finance
Business and Finance
Fri, February 4, 2011
The Shuman Law Firm Announces The Filing of a Class Action Lawsuit Against Life Partners Holdings, Inc.
BOULDER, Colo.--([ BUSINESS WIRE ])--[ The Shuman Law Firm ] today announced that a class action lawsuit has been filed in the U.S. District Court for the Western District of Texas on behalf of purchasers of the common stock of Life Partners Holdings, Inc. ("Life Partners" or the "Company") (NASDAQ:LPHI) during the period between May 29, 2007 and January 19, 2011, inclusive (the "Class Period"). Life Partners is a specialty financial services company and the parent company of Life Partners, Inc. ("LPI"). LPI operates in the secondary market for life insurance known as "life settlements".
"has made large fees from its life-insurance transactions while often significantly underestimating the life expectancies"
If you wish to discuss this action or have any questions concerning this notice or your rights and interests with respect to this matter, please contact Kip B. Shuman or Rusty E. Glenn toll free at (866) 974-8626 or email Mr. Shuman at [ kip@shumanlawfirm.com ] or Mr. Glenn at [ rusty@shumanlawfirm.com ].
The complaint alleges that during the Class Period, Defendants issued materially false and misleading statements regarding the Company's business and financial results by allegedly failing to disclose to investors that it was shortening the estimated life expectancies of insured individuals. The complaint alleges that if the Company had used accurate and appropriate estimated life spans, Life Partners would not have been able to sell as many policies to investors and therefore would not have earned additional and increased transaction fees for these insurance policies.
On December 21, 2010, The Wall Street Journal reported that Life Partners "has made large fees from its life-insurance transactions while often significantly underestimating the life expectancies" of insured individuals. On January 20, 2011, a Company-issued press release confirmed that the Securities and Exchange Commission is conducting an investigation into the business of LPI. Following the disclosure of this information, Life Partnersa™ common stock declined over 17% to close at $12.46, a decline from the prior day's closing price of $15.04.
If you purchased Life Partners common stock during the Class Period, you may request that the Court appoint you as lead plaintiff of the class no later than April 4, 2011. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.
The Shuman Law Firm represents investors throughout the nation, concentrating its practice in shareholder litigation.
