Life Partners Holdings, Inc. investors have filed a class-action lawsuit against the Waco Texas based life settlement provider, alleging that its directors and officers violated securities laws.
The lawsuit comes a month after an announcement was made that the publicly traded company is the subject of an SEC investigation into the life expectancies the company uses to value the life insurance policies it sells to its customers.
Life Partners is accused of misleading its customers—investors in life insurance policy—about the life expectancies of insureds on the policies it sells, with insureds outliving the life settlement company's life expectancy estimates 90% of the time.
