SAN FRANCISCO, April 07, 2015 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, reminds investors with losses exceeding $100,000 of the April 27, 2015 lead plaintiff deadline in a class action lawsuit filed against Bridgepoint Education, Inc. (NYSE:BPI) (“Bridgepoint” or “the Company”). The suit is pending in U.S. District Court for the Southern District of California, and investors, who purchased Bridgepoint securities between August 7, 2012 through May 30, 2014 (the “Class Period”) have until April 27, 2015 to move for lead plaintiff. You do not need to move to be a lead plaintiff to be a member of the Class.
If you purchased Bridgepoint securities during the Class Period, and have losses over $100,000, you may contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation, by calling (510) 725-3000, emailing BPI@hbsslaw.com or visiting http://hb-securities.com/investigations/BPI. No class has been certified in this case, and if your losses are less than $100,000 you are still a member of the class.
Bridgepoint is a for-profit provider of postsecondary education. The company runs institutions that provide programs online as well as at their traditional campuses. The complaint alleges that throughout the Class Period, Bridgepoint and its executives failed to disclosed that (i) the Company used an improper revenue recognition methodology to determine the collectability of student-owed funds; (ii) the Company’s revenues and financial results were overstated; (iii) the financial statements were not prepared in accordance with Generally Accepted Accounting Principles; and (iv) Bridgepoint did not use adequate internal or financial controls.
Investors began to learn the truth about the Company when, on May 12, 2014, Bridgepoint announced that the SEC had informed it that a reassessment of its financial reporting was required under the accounting principles general accepted in the United States. Following this news, the Company's stock declined $1.41 per share, or nearly 9%, to close at $14.51 per share on May 12, 2014. Then, on May 30, 2014, Bridgepoint announced that financial statements filed for the years ended December 31, 2011 and December 31, 2012 as well as for the first three quarters of 2012 should not be relied upon. On this news, shares of Bridgepoint declined $0.17 per share, over 1%, to close on June 2, 2014, at $12.82 per share, on unusually heavy volume.
“Based on the allegations in the complaint, this looks to be a clear instance of insiders cashing in at the price of a substantial loss for their shareholders,” said Hagens Berman partner Reed Kathrein.
If you were negatively impacted by your investment in Bridgepoint securities between August 7, 2012 through May 30, 2014, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, please contact us for your no-cost evaluation.
Whistleblowers: Persons with non-public information regarding Bridgepoint should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. For more information, call Reed Kathrein at (510) 725-3000 or email BPI@hbsslaw.com.
Hagens Berman Sobol Shapiro LLP is an investor-rights class-action law firm headquartered in Seattle, Washington with offices in nine 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 at http://www.hb-securities.com/newsletter. The firm’s blog is located at www.meaningfuldisclosure.com.
Contact: Reed Kathrein, (510) 725-3000
Source:Hagens Berman Sobol Shapiro LLP