RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased YRC Worldwide Inc. (“YRC” or the “Company”) (NASDAQ: YRCW) securities between November 8, 2018 and December 21, 2018, inclusive (the “Class Period”).
YRC shareholders may, no later than March 10, 2019, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of YRC and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) from 2005 to at least 2013, YRC’s units systematically overcharged the federal government for freight carrier services; (2) this alleged misconduct caused the Department of Defense to overpay by millions of dollars for shipments that were lighter, and thus cheaper, than the weights for which the government was charged; (3) consequently, this alleged misconduct would subject YRC to enhanced government scrutiny and liabilities, including potentially owing treble damages under the False Claims Act; and (4) as a result, YRC’s public statements were materially false and misleading at all relevant times.
On December 14, 2018, The Wall Street Journal reported that the United States Department of Justice had filed a complaint alleging that YRC Worldwide “made false statements to the government and defrauded the Department of Defense by inflating weight measurements on bills” from 2005 to at least 2013. Specifically, it is alleged that workers for the Company reweighed thousands of shipments and didn’t disclose the results when those weights came in under the original estimate. On this news, shares of YRC Worldwide stock fell $1.26 per share or over 28% to close at $3.17 per share on December 14, 2018.
If you are a member of the class, you may, no later than March 10, 2019, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.