ITT Educational Services' $17M Investor Deal Gets Initial OK

Law360, New York (November 24, 2015, 4:32 PM EST) -- ITT Educational Services Inc. will pay $16.9 million in a securities settlement preliminarily approved Monday by a New York federal judge, after investors had accused the company of hiding or downplaying the extent to which increasing student-loan defaults were affecting its bottom line.

Lead plaintiffs Plumbers and Pipefitters National Pension Fund and Metropolitan Water Reclamation District Retirement Fund said in their January 2014 second amended complaint that ITT had swept under the rug its exposure to growing student-loan defaults and of "assuring investors throughout the class period that the company's liabilities were not material."

U.S. District Judge J. Paul Oetken preliminarily...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!