Nursing Home And Bank Receive Lawsuit For Overcharging Employees For Company Stock

A nursing home and a bank are being sued together for selling stock to employees for an inflated, above-market value. Employees of a health company purchased stock to have company ownership and plan for retirement. The total stock price was $40 million and approved by a bank and the nursing home company.

The Department of Labor is heading up the lawsuit saying that the stock purchase was not in favor or protection of employees. The plan was part of an ESOP designed to allow employees to participate in profit sharing, however, it is illegal to overprice the stock for participants. For more, read the story.

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Robert W. Carter, Jr. is a Virginia attorney whose law practice is dedicated to protecting the rights of the victims of nursing home and assisted living neglect and abuse in Richmond, Roanoke, Norfolk, Lynchburg, Danville, Charlottesville, and across Virginia.

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