Law Offices of Howard G. Smith announces that a class action lawsuit has been filed in the United States District Court for the Southern District of New York on behalf of all purchasers of the common stock of ITT Educational Services, Inc. (“ITT” or the “Company”) (NYSE:ESI) between April 22, 2010 and February 25, 2013, inclusive (the “Class Period”). ITT provides postsecondary degree programs in the United States.
The Complaint alleges that during the Class Period the Company and certain of its officers and directors violated federal securities laws by issuing false and misleading statements. On February 22, 2013, ITT announced that the Securities and Exchange Commission was investigating the Company’s involvement in certain private student-loan agreements. According to ITT, the Company had received a subpoena from the SEC on February 8, 2013, along with a letter informing the Company of the investigation. The subpoena issued by the SEC requested documents related to a 2009 loan risk-sharing agreement and ITT’s PEAKS Private Student Loan Program. As a result of this news, ITT stock declined $3.10 per share, or nearly 17%, to close on February 25, 2013, at $15.53 per share, on unusually heavy volume.
No class has yet been certified in this action. Until a class is certified, you are not represented by counsel unless you retain one. If you purchased ITT common stock during the Class Period, you have certain rights, and have until May 10, 2013 to move for lead plaintiff status. To be a member of the class you need not take any action at this time, and you may retain counsel of your choice. If you wish to discuss this action or have any questions concerning this Notice or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to firstname.lastname@example.org, or visit our website at http://www.howardsmithlaw.com.