MEMPHIS, Tenn. (WMC) - A lawsuit claims FedEx violated federal securities laws after a cyber attack.
The suit, which impacts people who purchases FedEx stock in a 15-month period starting in September 2017, alleges that FedEx misguided investors about how fast it would be able to cover costs from the cyber attack that impacted one of its subsidiaries, TNT Express.
The lawsuit was filed by Pomerantz Law Firm out of New York. It claims executives downplayed the impact of the cyber attack in June 2017 of its largest acquisition ever, the $4.8 billion purchase of TNT Express of the Netherlands.
The suit said the cyberattack caused large shipping customers to go with competitors and led to losses by FedEx even though the suit says FedEx assure investors that losses were minimal.
The suit also claims that the integration caused members of the class action lawsuit to purchase FedEx stocks at artificially inflated prices.
FedEx responded to word of the lawsuit with this statement:
The lawsuit is seeking compensatory damages in an amount to be determined at trial.