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Securities Class Action Lawsuit Filed Against ChoicePoint

Source: Business Wire
Published: March 21, 2005

A class action lawsuit has been filed on behalf of purchasers of ChoicePoint Inc. common stock during the period between April 22, 2004 and March 3, 2005 (the "Class Period"), the law firm Lerach Coughlin announced March 10, 2005.

The suit comes after ChoicePoint disclosed in February that a secruity breach of its systems compromised personal information on as many as 145,000 consumers nationwide - including credit reports and Social Security numbers.

The complaint alleges that during the Class Period, defendants disseminated materially false and misleading statements concerning the security of the Company's systems, its results and operations.

"At the same time ChoicePoint's security breaches were concealed, two of the Company's top officers sold $20.89 million worth of their ChoicePoint stock," according to the lawsuit.

Defendants, including ChoicePooint and certain of its officers and directors, are charged with violations of the Securities Exchange Act of 1934.

ChoicePoint sells consumer data to credit providers, government agencies, landlords and others looking to make business decisions based on a person's credit history and other factors.

The lawsuit seeks to recover damages on behalf of all purchasers of ChoicePoint common stock during the Class Period (the "Class").

Read Full Story at Business Wire

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