YRC Worldwide Inc. (YRCW) Accused of Defrauding Government
According to a complaint filed against the Company, YRC made false and misleading statements to the market from 2014 to 2018. On December 14, 2018, the Justice Department issued a press release revealing that it had filed a complaint against YRC for systematically overcharging the government. That same day, the Wall Street Journal reported on the lawsuit against YRC’s units over military shipments from 2005 to at least 2013, stating that YRC had overcharged the Pentagon millions of dollars for shipping over several years and defrauded the Department of Defense by inflating weight measurements on bills. On this news, YRC stock declined drastically and currently trades at around $3.60, a more than 87% decline from its class period high of $28.11.