Gainey McKenna & Egleston Announces that It Has Filed a Derivative Action on Behalf of CenturyLink, Inc. (CTL) And Against Its Directors
NEW YORK, Aug. 03, 2018 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces it has filed a derivative action on behalf of current stockholders of CenturyLink, Inc. (“CenturyLink” or the “Company”) because of alleged breaches of fiduciary duty by its board of directors (the “Board”). The new action was filed in the Western District of Louisiana, Case No. 3-18-cv-870.
A prior derivative action filed by Gainey McKenna & Egleston on behalf of CenturyLink and against its directors was voluntarily dismissed to allow for a demand upon the Board to take certain requested actions. That voluntarily dismissed action was also filed in the Western District of Louisiana, Case No. 3-17-cv-1177.
The Complaint in the recently filed action alleges that the Board violated its fiduciary duties by allowing CenturyLink to make false and misleading statements and/or fail to disclose that: (1) CenturyLink’s policies allowed its employees to add services or lines to accounts without customer permission, resulting in millions of dollars in unauthorized charges to CenturyLink customers; (2) CenturyLink’s revenues were the product of illicit conduct and unsustainable; (3) the foregoing illicit conduct was likely to subject CenturyLink to heightened regulatory scrutiny; and (4) as a result, CenturyLink’s public statements were materially false and misleading at all relevant times. The Complaint further alleges that the failure of the Board to respond to the plaintiff’s demand to take action to rectify these breaches was itself a breach of its fiduciary duty.
If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at firstname.lastname@example.org or email@example.com.
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