Delayed Nyse Judge Trauger found there was a strong case to be made that CoreCivic got off easy with respect to the OIG report. Correction Corporation of Americas stock price hit a high in June, rising north of $35 per share, then declining slowly but steadily over the remainder of the summer, according to data from Google Finance. The complaint in this action was not filed by Kessler Topaz Meltzer & Check. Investors who purchased CCA securities during the Class Period may seek to be appointed by the Court as a lead plaintiff representative of the class. The Settlement, if approved, will result in the creation of a cash settlement fund of $56,000,000.00 (the Settlement Amount). This settlement will help ensure they dont lose money betting on the business of caging people for profit. Layn R. Phillips (Ret.). As a digital subscriber to Prison Legal News, you can access full text and downloads for this and other premium content. Fax: 212-614-6499. Share 3:16-cv-02267, has been certified by the District Court as a class action; and Amalgamated Bank, as Trustee for . Shareholder Class Action Filed Against Corrections Corporation of For two years, CCR participated in a mediation process with defendants and the Special Enforcement unit of the FCC as required. This is the only option that. Corrections Corporation of America is a civil rights case which challenged the monopolies that phone companies and the Corrections Corporation of America (CCA) maintain in the prison systems of the United States. Date Filed. New York, NY 10012, Main: 212-614-6464 later than October 24, 2016, petition the Court to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. PLN managing editor Alex Friedmann, who owns a small amount of CoreCivic stock as an activist investor, mainly for the purpose of filing shareholder resolutions, has filed a separate derivative suit against CoreCivic that was stayed pending developments in the Grae case, which remains pending. The plaintiffs also alleged that the agreements violated the Sherman Anti-Trust Act, 15 U.S.C. Camp Lejeune residents now have the opportunity to claim compensation for harm suffered from contaminated water. Filed: May 31, 2017 3:17-cv-01112-JLS-NLS. Tenn.), Case No. On August 9, 2013, the Federal Communications Commission (FCC) finally approved new rules capping prison phone rates, ten years after Martha Wright filed her petition. Get no payment. The agreement included, among other things, the Settling Parties agreement to settle the Litigation in return for a cash payment of $56,000,000 for the benefit of the Class, subject to the negotiation of the terms of a Stipulation of Settlement and approval by the Court. All rights reserved. New to ClassAction.org? Tranche Update on CoreCivic, Inc.'s Equity Buyback Plan announced on May 16, 2022. https://www.ktmc.com/new-cases/corrections-corporation-of-america#join, CoreCivic Reports Fourth Quarter and Full Year 2022 Financial Results. PDF Notice of Proposed Settlement of Class Action America, Inc. ("Cca" or (610) 667-7706 All rights reserved. Donations: 212-614-6448 Filed Date: April 27, 2011 Closed Date: May 23, 2016 Clearinghouse coding complete . Lawsuit Filed, Settlement Proposed, Settlement Approved. GLOBALLY RECOGNIZED ROSEN LAW FIRM Encourages Credit Acceptance Read our Newswire Disclaimer. In 2014 and 2015 reports, CCA said, We are committed to equipping offenders in our care with the services, support, and resources necessary to return the community as productive, contributing members of society., The facade fell off on August 18, 2016, when Deputy General Attorney Sally Yates announced the Department of Justice had decided to end its use of private prisons. ClassAction.org is a group of online professionals (designers, developers and writers) with years of experience in the legal industry. Remember Or log in with Google Twitter Facebook Apple Sign up Your rights may be affected by the Settlement if you purchased or otherwise acquired Corrections Corporation of America, Inc. ("CCA" or the "Company") (n/k/a "CoreCivic") during the period from February 27, 2012 through and including August 17, 2016 (the "Class Period"). Corrections Corporation of America Securities Fraud Class Action | New Cases | Kessler Topaz Submit your Information Please complete this form and list your purchase and sale transaction (s) for Corrections Corporation of America (NYSE: CXW) between February 27, 2012 and August 17, 2016, inclusive (the "Class Period"): Darren J. A 2012 report noted that 40-43% of CCAs revenue was derived from contracts with the federal government through operation of prisons and detention centers. Adrienne O. In some instances CoreCivic pays detainees $1 per day, and in other instances detainees are not compensated with wages at all for their labor and services, the lawsuit claims, adding that the defendant reported nearly $1.8 billion in total revenues from 2016. If Kessler Topaz, in its sole discretion, believes that at (484) 270-1453; or you may submit your information via email at info@ktmc.com, or you may click here to print a PDF of this form. The petition sought restructuring of long distance inmate calling services to introduce competition. When typing in this field, a list of search results will appear and be automatically updated as you type. The lawsuit, filed in August 2016 against the company and four executives, alleges CoreCivic, formerly named Corrections Corp. of America, made false and misleading statements about its. We recommend that you read the Notice and other relevant case documents carefully. CCA entered into a series of exclusive agreements with telephone companies to provide inmate telephone service at various CCA-run prisons and jails. On August 23, 2016, the initial complaint in this securities class action was filed against Corrections Corporation of America (CCA) and certain of CCAs top officials, asserting violations of sections 10(b) and 20(a) of the Securities Exchange Act. This browser does not support PDFs. February 6, 2023. Following this news, shares of the Company's stock declined $9.65 per share, or over 35%, to close on August 18, 2016 at $17.57 per share, on unusually heavy trading volume. CCA, together with its subsidiaries, owns, operates, and manages private prisons and other correctional facilities in the United States, and provides inmate residential and prisoner transportation services for governmental agencies. On Aug. 18, U.S. Deputy Attorney General Sally Yates made the announcement that, based on a number of factors, the DOG would put a number of reforms into place to ensure a more effective federal prison system, according to investment news site The Motley Fool. Bell, Esq. 3:16-cv-02267, was filed in the District Court. Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. TN, Case No. CCA shareholders may, no later than October 24, 2016, petition the Court to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. Check, Esq.D. Following Yates announcement, CCAs stock fell $9.65, or 39.45%, to close at $17.57 on August 18, 2016, the complaint alleged. PDF Notice of Pendency of Class Action To: All Persons Who Purchased or CCA has history of wage violations, poor treatment of employees The FCC sought comments on petitioners alternative proposal in the spring of 2007, and supportive comments were filed with the FCC by many organizations, including the Ad Hoc Coalition for the Right to Communicate and the Sentencing Project. The statements at issue here, however, frequently went beyond generic puffery to claims that their services were of a high quality, specifically, in the eyes of their government clients.. CORRECTING and REPLACING - Business Wire Goldberg Law PC announces that a class action lawsuit has been filed against Corrections Corporation of America .. | February 6, 2023 . 3:16-cv-02267, has been certified by the District Court as a class action; and Amalgamated Bank, as Trustee for . Therefore, class-action status was granted. Sections 1 et seq., the Communications Act, 47 U.S.C. Check, Esq.D. of Phillips ADR, an experienced mediator. For more information about Kessler Topaz Meltzer & Check, or for additional information about participating in this action, please visit www.ktmc.com. CoreCivic, Inc., formerly Corrections Corporation of America, is the defendant proposed class action filed over alleged human trafficking and labor law violations. Bell, Esq.) Those statements came as no surprise to PLN readers, for we have regularly reported the deficiencies of services and security in CCA and CoreCivic prisons for over 31 years now. 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CCA entered into a series of exclusive agreements with these telephone companies to provide inmate telephone service at various CCA-run prisons and jails. The effect on stock prices Private prison operator CoreCivic, formerly known as Corrections Corporation of America (CCA), paid $56 million to settle a class action lawsuit alleging it violated securities laws that resulted in a loss to stock holders. The fact that CoreCivics stock eventually recovered was no defense to its alleged use of false statements and failure to disclose adverse information. The Settling Parties engaged in arms-length negotiations during the mediation session, but were unable to reach an agreement. Lawsuit Claims CoreCivic Allowed Corruption and Gangs to Flourish at They simply do not provide the same level of correctional services, programs, and resources, Yates said in making the announcement. Seamus Kaskela, Esq.Adrienne O. The Federal Communications Commission (FCC) finally approves new rules capping prison phone rates, ten years after Martha Wright filed her petition. In this lawsuit, plaintiffs alleged that unconscionable phone arrangements established by the Corrections Corporation of America and various telephone companies violated their constitutional rights. In March of 2007, CCR and its partners filed an alternative rulemaking proposal. Frank Krogh, Doane Kiechel, and Jennifer Kostyu, Morrison & Forester LLP, Deborah Golden, D.C. Prisoners Project,Stephen Seliger and Laurie Elkin, Seliger & Elkin Ltd. A securities class action lawsuit was recently filed against the private prison giant Corrections Corporation of America, alleging that the company made false or misleading statements, and failed to disclose certain information that would have otherwise been important for investors to know. Private prisons do not save substantially on costs; and as noted in a recent report by the Departments Office of Inspector General, they do not maintain the same level of safety and security.. RADNOR, PA / ACCESSWIRE / August 29, 2016 / The law firm of Kessler Topaz Meltzer & Check, LLP alerts Corrections Corporation of America shareholders that a class action lawsuit has been filed. But the court agreed with Amalgamated that the OIG report did not address the scope of the problems. Please complete this form and list your purchase and sale transaction(s) for Corrections Corporation of America (NYSE: CXW) between February 27, 2012 and August 17, 2016, inclusive (the Class Period): You may also contact Jon Naji, Esq. 666 Broadway Buckfire Law Wins Jail Death Trial Against Corizon Health's Employees Dec, 16 2022 Private prison company execs accused of downplaying detainee lawsuits Aug 26, 2022 Levi & Korsinsky announces the commencement of a class action lawsuit in the USDC for the Middle District of Tennessee on behalf of shareholders of Corrections Corporation of America (NYSE: CXW) who purchased shares between February 27, 2012 and August 17, 2016.. Kessler Topaz Meltzer & Check, LLPDarren J. Shareholders who have incurred losses in Corrections Corporation of America securities are urged to contact the firm immediately at classmember@whafh.com or (800) 575-0735 or (212) 545-4774.. Investors who purchased CCA securities during the Class Period may seek to be appointed by the Court as a lead plaintiff representative of the class. ) ) ) ) ) ) ) ) Civil Action No. Corrections Corp Of America | shareholdersfoundation.com by Matt Clarke On March 26, 2019, a federal district court in Tennessee granted class-action certification in a shareholder lawsuit brought against CoreCivic, formerly Corrections Corporation of America, that alleged the company made statements misrepresenting the quality and value of its services, resulting in losses to stockholders. -, Transcript : CoreCivic, Inc., Q4 2022 Earnings Call, Feb 09, 2023, CoreCivic's Q4 Adjusted Earnings, Revenue Decline. Tranche Update on CoreCivic, Inc.'s Equity Buyback Plan announced on May 16, 2022. https://www.ktmc.com/new-cases/corrections-corporation-of-america#join, http://www.prnewswire.com/news-releases/shareholder-class-action-filed-against-corrections-corporation-of-america--cxw-300317822.html, CoreCivic Reports Fourth Quarter and Full Year 2022 Financial Results. See: Grae v. Corrections Corporation of America, USDC, C. Dist. Sections 1 et seq., the Communications Act, 47 U.S.C. Additional sources: usnews.com, tennessean.com. CCR and its partners filed an alternative rulemaking proposal requesting that the FCC establish benchmark rates for all interstate inmate calling services no higher than $0.20 per minute for debit calling and $0.25 per minute for collect calling. the part of Kessler Topaz or you to file a lead plaintiff motion in this matter. at (888) 299 7706 or at [emailprotected]. The district court held that Amalgamated was entitled to the rebuttable presumption that it relied on the companys material public statements when making stock purchases. Check, Esq., D. Seamus Kaskela, Esq. The court granted their motion on April 27, 2011 and allowed the . Copyright 2023 Surperformance. CoreCivic and its executives, as might be expected, typically portrayed its services in a positive light to shareholders, the district court wrote. The law firm of Robbins Geller Rudman & Dowd LLP represents you and other Class Members. CoreCivic, Inc. Reports Impairment of Real Estate Assets for the Fourth Quarter Ended D.. CoreCivic, Inc. Copyright 2023 Surperformance. New York, NY 10012, Main: 212-614-6464 The complaint alleges that CCA and certain of its executive officers made a series of false and misleading statements and/or failed to disclose to investors during the Class Period that: (i) CCA's facilities lacked adequate safety and security standards and were less efficient at offering correctional services than the Federal Bureau of Prisons' ("BOP") facilities; (ii) CCA's rehabilitative services for inmates were less effective than those provided by BOP; (iii) consequently, the U.S. Department of Justice ("DOJ") was unlikely to renew and/or extend its contracts with CCA; and (iv) as a result of the foregoing, CCA's public statements were materially false and misleading at all relevant times. Following this news, shares of the Company's stock declined $9.65 per share, or over 35%, to close on August 18, 2016 at $17.57 per share, on unusually heavy trading volume. CCA shareholders may, no later than October 24, 2016, petition the Court to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check or other counsel, or may choose to do nothing and remain an absent class member. 3:16-cv-02267 (the "Litigation"), pending before the United States District Court for the Middle District of Tennessee (the "Court"). Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff. The complaint in this action was not filed by Kessler Topaz Meltzer & Check. The suit was filed in August 2016 against defendants CoreCivic and four of its executives CEO Damon T. Hininger, CFO David M. Garfinkle, Todd J. Mullenger and board member and former federal Bureau of Prisons director Harley G. Lappin. The class and CoreCivic agreed on April 15, 2021 to settle the lawsuit for $56 million, which includes attorney fees and costs. . Expert depositions are scheduled to conclude on October 30, 2020. The only way to be eligible to receive a payment from the Settlement. 7th Floor The outlook for CoreCivic and the private prison industry took a hit with the Biden administration in the White House. Defendants deny each and all of Plaintiffs allegations. CCR filed a petition for rulemaking with the FCC. A trial is scheduled for May 18, 2021. To recover as a Member of the Class based on your claims in the action entitled Grae v. Corrections Corporation of America, et al., Civil Action No. Sections 151 et seq., and other laws of the District of Columbia. No settlement was reached however, and on October 31, 2003, CCR filed a petition for rulemaking with the FCC. On March 26, 2019, a federal district court in Tennessee granted class-action certification in a shareholder lawsuit brought against CoreCivic, formerly Corrections Corporation of America, that alleged the company made statements misrepresenting the quality and value of its services, resulting in losses to stockholders. The lawsuit captioned Grae v. Corrections Corporation of America, et al., Case No. In order to be appointed as a lead plaintiff, the Court must determine that the class member?s claim is typical of the claims of other class members, and that the class member will adequately represent the class in the action. What went into DOJs decision? Radnor, PA 19087 $2.57 Million Settlement for Hogtying Death in NC Police Custody, Nov. 30, 2022. The alternative proposal requests that the FCC establish benchmark rates for all interstate inmate calling services no higher than $0.20 per minute for debit calling and $0.25 per minute for collect calling. CCA specifically listed the ACA, The Joint Commission, the National Commission on Correctional Healthcare, the Occupational Safety and Health Administration, federal, starts, and local government codes and regulations, established correctional procedures, and company-wide policies and procedures that may exceed those guidelines that it met or exceeded. 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