On March 9, 2018, the initial complaint in this securities class action was filed against WageWorks, Inc. (“WageWorks”), and certain of WageWorks’ directors and officers, asserting violations of sections 10(b) and 20(a) of the Securities Exchange Act.
The complaint alleged that the defendants issued, or caused to be issued, a series of false and/or misleading financial statements, failing to disclose that: (i) there were material weaknesses in WageWorks’ systems of internal controls and that its practices and controls were ineffective; (ii) WageWorks failed to adequately manage and assess risk relating to certain complex transactions, including certain government contracts; (iii) WageWorks improperly recognized revenue thereby inflating its earnings and related financial metrics, and that, (iv) as a result of the foregoing, WageWorks’ financial statements were materially false and misleading at all relevant times. As a result of the issuance of these false and misleading financial statements, throughout the class period, the common stock of WageWorks traded at artificially inflated prices.
This securities class action lawsuit was brought on behalf of persons and entities that acquired WageWorks securities between May 6, 2016 and March 1, 2018, inclusive.
Current Status of Case:
On June 1, 2020, the Court entered an order denying the defendants’ motion to dismiss, thereby allowing the action to proceed. The parties are currently in the discovery phase of the litigation. The oral argument for the lead plaintiffs’ motion for class certification is currently scheduled for July 9, 2021. This case is still ongoing.
If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087 1-844-887-9500 (toll free) or 1-610-667-7706
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