On Monday, March 23, 2020, Ellis George partners Eric M. George and former U.S. Attorney Thomas P. O’Brien filed a lawsuit against U.S. Senator Richard M. Burr for selling securities on the basis of material nonpublic information he received during a security briefing about the impending COVID-19 outbreak in the United States.
The complaint alleges that Senator Burr “has acted as a scofflaw in a time of national crisis,” including by publicly assuring the public that “the United States today is better prepared than ever before to face emerging public health threats like the coronavirus” even though he made 33 separate stock sales less than one week later. Those stock transactions allegedly constituted “virtually every asset” the Senator owned.
Eric George said, “What the Senator did in this time of crisis – abusing his official position for personal financial reasons – is enough to turn the stomach of even the most hardened cynic. This has nothing to do with political affiliation, but is an effort to hold this hypocrite to account.”
Ellis George represents Plaintiff Alan D. Jacobson, an investor who owned Wyndham Hotel stock—one of several that was dumped by Senator Burr—which had lost roughly 65% of its value between February 13, 2020 (when Senator Burr sold the stock) and March 19, 2020.
The lawsuit alleges that Senator Burr sold stock in the following companies (among others) on February 13, 2020, all of which were reportedly traded on the New York Stock Exchange except as otherwise noted. If you purchased stock for any of these companies in or around this time, or if you have any questions about this lawsuit and wish to seek a consultation with us regarding a potential claim you may have, please do not hesitate to contact us by telephone at (424) 335-2930 or by e-mail at burrlawsuit.
- Abbvie, Inc. (ABBV)
- Axalta Coating Systems Ltd. (AXTA)
- Bank of New York Mellon Corp. (BK)
- Colfax Corporation (CFX)
- CenturyLink Inc. (CTL)
- Dorman Products, Inc. (DORM) *
- FedEx Corp. (FDX)
- Fairfax Financial Holdings Ltd. (FRFHF) **
- 3M Company (MMM)
- Orion Engineered Carbons SA (OEC)
- Koninklijke Philips NV (PHG)
- Park Hotels & Resorts Inc. (PK)
- Everest Re Group (RE)
- Extended Stay America, Inc. (STAY) *
- Constellation Brands Inc. (STZ)
- Wyndham Hotels & Resorts Inc. (WH)
- CSX Corp. (CSX)
* Traded on the Nasdaq Stock Market.
** Traded on the OTC Markets.
