NEW YORK — Pomerantz LLP announces that a class action lawsuit has been filed against Navient Corporation (“Navient” or the “Company”) (NASDAQ:NAVI) and certain of its officers. The class action, filed in United States District Court, for the District of New Jersey, and docketed under 17-cv-11014, is on behalf of a class consisting of investors who purchased or otherwise acquired Navient securities, seeking to recover compensable damages caused by defendants’ violations of the Securities Exchange Act of 1934.
If you are a shareholder who purchased Navient securities between February 25, 2016, and October 4, 2017, both dates inclusive, you have until December 15, 2017 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll free, Ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Navient Corporation provides asset management and business processing services to education, health care, and government clients at the federal, state, and local levels in the United States.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company engaged in deceptive practices to facilitate the origination of subprime loans; (ii) the Company committed unfair and deceptive acts by steering student borrowers into payment plans that postponed bills, allowing interest to accumulate, rather than helping them enroll in income-driven repayment plans; and (iii) as a result of the foregoing, Navient’s public statements were materially false and misleading at all relevant times.
On October 5, 2017, Pennsylvania’s Attorney General filed a lawsuit against Navient and its subsidiary Navient Solutions, LLC, alleging “widespread abuses” in Navient’s student loan origination and servicing segments and deceptive lending practices. Among other abuses, the lawsuit alleges that Navient marketed predatory loans and steered student borrowers into payment plans that postponed bills, allowing interest to accumulate, rather than helping them enroll in income-driven repayment plans.
On this news, Navient’s share price fell $2.10, or 14.25%, to close at $12.61 on October 5, 2017.
On October 10, 2017, Bloomberg published an article entitled “Navient Subject of AFL-CIO Call for Insider Trading Probe,” disclosing that the American Federation of Labor and Congress of Industrial Organizations (“AFL-CIO”), the nation’s largest labor federation, called for the SEC to “examine the trading in Navient’s common stock on August 31” for possible insider trading.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com
Robert S. Willoughby