WellPoint Hit With ERISA Suit Over March Stock Drop

Law360, New York (May 30, 2008, 12:00 AM EDT) -- Health benefits company WellPoint Inc. and its top executives have been hit with a class action accusing them of harming employees' retirement investments by concealing how rising medical costs were impacting the company's finances.

Named plaintiff James Halub brought the suit Thursday in the U.S. District Court for the Southern District of Indiana accusing the company of filing false earnings statements that caused the retirement plan to lose money when WellPoint's actual financial condition was revealed in March.

On March 10, the company's stock plummeted more...
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