Following QBE’s share price collapse late last year, Maurice Blackburn has launched an investigation into whether QBE breached its disclosure obligations by not informing the market of the losses sooner.
QBE shares fell 30 per cent over two days in early December 2013, when the insurance giant “stunned” the market by announcing it expected to post a loss of US$250 million for the financial year, Maurice Blackburn stated.
Maurice Blackburn Lawyers class actions principal Jacob Varghese said the firm was approached by shareholders concerned QBE was “less than frank and timely” in informing the market of the troubles in its North American business, which he said were at the heart of last year’s surprise loss.
“If QBE has breached its obligations or misled the market, investors that bought QBE shares in the period leading up to 9 December 2013 paid an inflated price for those shares. Those investors will be entitled to compensation,” he stated.
Together with International Litigation Funding Partners, Maurice Blackburn said they are offering QBE shareholders the opportunity to register their claims and receive the support of litigation funding.
“If there is enough shareholder interest, it is very likely QBE will face a class action,” Mr Varghese said.
