Participants in the Boeing Voluntary Investment Plan (VIP) on behalf of all similarly situated participants and beneficiaries in defined contribution plans sponsored by Boeing, filed a lawsuit alleging artificial inflation of Boeing stock. The VIP Stock Fund, which invests in shares of Boeing stock, is offered as an investment option in the VIP. Plaintiffs claim that Boeing should have known that the truth about the safety problems with the 737 MAX would become public and would lead to a negative correction in Boeing’s stock. Nonetheless, Boeing defendants still allowed unknowing participants to allocate significant portions of retirement plan savings to the VIP Stock Fund.
www.planadviser.com; April 10, 2019.