WageWorks Inks $30M Deal In Investors' Padded Revenue Suit

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Law360 (April 2, 2021, 9:28 PM EDT) — WageWorks has agreed to pay $30 million to end a proposed securities fraud class action in California federal court accusing it of padding its revenue reports with money it was never supposed to get, according to investors asking for preliminary approval of the deal.

The investors also asked the court Thursday to certify, for the purpose of the settlement, two classes made up of the “many hundreds” of those who bought WageWorks common stock shares between May 2016 through March 2018, and those who bought WageWorks Inc.’s public offering shares in June 2017.

The investors argue that the deal, which provides…