Walter Investment Sued Over $120M Merger Troubles

Law360, New York (July 25, 2013, 5:19 PM EDT) -- Loan service provider Walter Investment Management Corp. and its key executives were hit with a proposed shareholder class action Thursday alleging they misled investors about the company's internal reporting controls and the liabilities of its recent $120 million acquisition of Reverse Mortgage Solutions Inc.

John Cummings filed the suit in Florida federal court, saying that following Walter Investment's acquisition of Reverse Mortgage, the company came clean in March and admitted a material weakness in its internal control over financial reporting, debasing its stock price by 20...
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