Shareholder lawsuit says GE concealed insurance shortfall, SEC probe

|By:, SA News Editor

General Electric (GE +1.2%) is sued by a shareholder who accuses the company of concealing mounting insurance liabilities and an SEC investigation, costing shareholders tens of billions of dollars.

The complaint filed by the Cleveland Bakers and Teamsters Pension Fund appears to be the first proposed shareholder class action accusing GE of securities fraud since the company surprised investors with two negative announcements last month, according to Reuters.

The lawsuit, which also names as defendants CEO John Flannery, former CEO Jeffrey Immelt, CFO Jamie Miller and former CFO Jeffrey Bornstein, seeks damages on behalf of shareholders from Feb. 26, 2013 to Jan. 24, 2018.

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