SAN FRANCISCO, Feb. 18, 2016 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm announces the filing of a securities fraud class action lawsuit against Navient Corporation (NASDAQ:NAVI) related to the Consumer Financial Protection Bureau’s investigation and possible enforcement action against the Company, and alerts investors there is an April 11, 2016 lead plaintiff deadline.
If you suffered losses because of your purchases of Navient between April 17, 2014 and February 5, 2016, or have information that will help our continuing investigation contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, emailing NAVI@hbsslaw.com or visiting https://www.hbsslaw.com/cases/NAVI. The lawsuit was filed in the U.S. District Court for the District of Delaware and investors have until April 11, 2016 to move the court to participate as a lead plaintiff.
Formed as a spin-off of Sallie Mae, Navient is the nation's largest loan servicer, servicing more than $300 billion in student loans. Navient holds the largest portfolio of education loans insured or guaranteed under the Federal Family Education Loan Program, as well as the largest portfolio of Private Education Loans.
On August 24, 2015, Navient reported that on August 19, 2015, the Company’s wholly-owned subsidiary Navient Solutions, Inc. received a Notice and Opportunity to Respond and Advise letter providing notice that the CFPB’s Office of Enforcement was considering recommending that CFPB take legal action against NSI related to a previously disclosed investigation regarding assessing late fees on student loans and other related misconduct, and that the CFPB could seek restitution, civil monetary penalties, and corrective action against NSI. On this news, Navient’s shares fell $1.01, or nearly 7.73% to close at $12.05 on August 25, 2015.
Recently, on February 6, 2016, U.S. presidential candidate Hillary Clinton directed public attention to the subject of the CFPB’s investigation of Navient during a speech at New England College in Henniker, New Hampshire, stating that Navient’s “behavior is outrageous” and that the Company has been “misleading people” and “doing some really terrible things.” After Clinton’s speech made headlines, Navient stock fell $0.57, or 5.99%, to close at $8.94 on the following trading day, February 8, 2016.
The complaint alleges that Navient misled shareholders and possibly violated the securities laws by failing to disclose that their loan servicing practices were not in compliance with federal regulation, which could subject them to fines and penalties.
Whistleblowers: Persons with non-public information regarding Navient should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email NAVI@hbsslaw.com.
About Hagens Berman
Hagens Berman is headquartered in Seattle, Washington with offices in 10 cities. The Firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the Firm and its successes can be found at www.hbsslaw.com. Read the Firm’s Securities Newsletter, and visit the blog. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Contact:
Reed Kathrein, 510-725-3000
