SAN DIEGO--(BUSINESS WIRE)--Haeggquist & Eck, LLP a shareholder rights litigation firm, has launched an investigation into possible breaches of fiduciary duty and other violations of state law by certain members of Navient Corporation’s (NASDAQ: NAVI) board of directors. Navient, formerly the debt servicing arm of Sallie Mae, holds the largest portfolio of private and federally guaranteed student loans in the United States, and also services student loans.
Over the past year and a half, three securities fraud class action complaints were filed against Navient and its top executives for engaging in fraudulent accounting practices and engaging in misconduct when servicing student loans. Specifically, the investigation concerns whether Navient’s Board of Directors failed to implement appropriate internal procedures and controls to prevent the alleged accounting violations that are the subject of the consolidated securities fraud lawsuit filed against Navient and certain of its directors and officers in the U.S. District Court for the District of Delaware.
Haeggquist & Eck is also investigating whether Navient’s board failed to implement appropriate internal controls to prevent the alleged student loan servicing violations that are the subject of the complaints filed against Navient by the Consumer Financial Protection Bureau and Attorney Generals from Illinois and Washington. These actions allege that Navient and its top executives engaged in a massive, company-wide scheme to steer its student loan borrowers away from affordable repayment plans, and into more lucrative forbearance arrangements, so that Navient could continue collecting interest, fees, and expenses on these loans from the student borrowers.
Navient Shareholders Have Legal Options
Concerned Navient shareholders who would like more information about potential remedies for the alleged misconduct, including remedies to the Company from the alleged misconduct of its executives and/or directors, may contact attorneys Amber Eck or Kathleen Herkenhoff at 619-342-8000, firstname.lastname@example.org or email@example.com.
Haeggquist & Eck, LLP is a nationally recognized leader in shareholder rights law. The firm represents individual investors in shareholder derivative lawsuits, and members of the firm have helped shareholders recover more than $1 billion of value for themselves and the companies in which they have invested.
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