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NEW YORK — (BUSINESS WIRE) — Milberg LLP has filed a federal securities class action against Bridgepoint Education, Inc. (“Bridgepoint” or the “Company”) (NYSE:BPI) and certain of its officers and directors alleging violations of the Securities Exchange Act of 1934. The action (3:12-cv-01841), filed in the United States District Court for the Southern District of California, is on behalf of purchasers of Bridgepoint common stock between May 3, 2011 and July 12, 2012, inclusive (the “Class Period”).
Milberg LLP has created a website that seeks to answer common questions about shareholder class actions.
The Complaint alleges that throughout the Class Period defendants misrepresented and/or failed to disclose that: (1) the Company did not employ sufficient plans, procedures and practices to help students finish their academic programs; (2) the Company failed to provide adequate resources, thus preventing its students from moving forward to acceptable levels; (3) the Company’s Ashford University failed to uphold an ample number of faculty and programs, resulting in meager instruction and low completion rates by students; (4) the Company had insufficient review measures such that shortfalls in completion rates were not appropriately recognized and corrected; (5) Ashford University failed to preserve an empowered and independent governing board; and (6) as a result of the above, the Company’s financial statements were materially false and misleading.
On July 9, 2012, Bridgepoint disclosed that Ashford University was denied accreditation by the Accrediting Commission for Senior Colleges and Universities of the Western Association of Schools and Colleges (“WASC”). In response, shares fell $7.25 per share, or 33.72%.
On July 13, 2012, the Company disclosed that Ashford University received a letter from the Higher Learning Commission (“HCL”) of the Northern Central Association of schools and Colleges requiring it “to provide certain information and evidence of compliance with HCL accreditation standards.” In response, shares fell $3.20 per share, or 24.67%.
If you purchased Bridgepoint common stock during the Class Period you may, no later than September 11, 2012, request that the Court appoint you lead plaintiff of the proposed class. A lead plaintiff is a class member that represents other class members in directing the litigation. Your share in any recovery will not be affected by serving as a lead plaintiff, however, lead plaintiffs make important decisions that could affect the overall recovery for class members. You do not need to be a lead plaintiff to recover. You may retain Milberg LLP, or other attorneys, for this action, but do not need to retain counsel to recover. If this action is certified as a class action, class members will be automatically represented by Court-appointed counsel.
Milberg LLP has represented individual and institutional investors for over four decades and serves as lead counsel in Courts throughout the United States. If you wish to discuss this matter with us, please contact the following attorney:
Andrei Rado, Esq.
Milberg LLP
One Pennsylvania Plaza, 49th Fl.
New York, NY 10119-0165
Phone number: (800) 320-5081
Email: contactus@milberg.com
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