CIVITAS INVESTIGATION INITIATED BY FORMER LOUISIANA ATTORNEY GENERAL: Kahn Swick & Foti, LLC Investigates the Officers and Directors of Civitas Solutions, Inc. - CIVI
Published: Mar 03, 2018
NEW ORLEANS, March 2, 2018 /PRNewswire/ -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF has commenced an investigation into Civitas Solutions, Inc. (NYSE: CIVI).
For several years, the Company, operating through its service agency, The MENTOR Network and other related entities, as one of the largest for-profit providers of foster care services, has been at the center of investigations by the news media as well as the U.S. Senate Finance Committee. In a comprehensive October 2017 report, the Senate Committee identified numerous wide-ranging deficiencies by the Company regarding child placement and foster family background screening; that "[s]ome children served by MENTOR were abused, neglected, and denied services"; that "investigations about fatalities were never followed up, autopsy reports which were pending years ago are not part of case files, and the vast majority of children who died were not the subject of an internal investigation" and that the Company had paid significant financial settlements to resolve negligence claims (for example, nine settlements in Illinois totaling $19.5 million), which had also resulted in what the Company described in a 2014 SEC filing as "less favorable insurance terms" and "greater amounts [expensed] to fund potential claims."
KSF's investigation is focusing on whether Civitas' officers and/or directors breached their fiduciary duties to Civitas shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of Civitas shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn (email@example.com), or visit https://www.ksfcounsel.com/cases/nyse-civi/ to learn more.
About Kahn Swick & Foti, LLC
KSF, whose partners include Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities, antitrust and consumer class actions, along with merger & acquisition and breach of fiduciary litigation against publicly traded companies on behalf of shareholders. The firm has offices in New York, California and Louisiana.
To learn more about KSF, you may visit www.ksfcounsel.com.