K12 (Of the K12 appointed by DeDOE to Run Moyer Charter) Accused of Securities Fraud

From WDEL  http://www.wdel.com/story.php?id=40660

Monday, February 6, 2012 - 1:01pm
Firm running Moyer Academy accused of fraud
A private for-profit company hired by state officials to run the troubled Moyer Academy charter school in Wilmington is the target of a lawsuit alleging federal securities fraud.
A lawsuit filed in Virginia alleges that officials with Virginia-based K12 Inc. made false and misleading statements regarding the company's business and financial results in order to inflate K12's stock price.

The complaint was filed last week on behalf of investors who bought K12 stock between 2009 and last year. It alleges among other things that K12 used deceptive student recruiting practices and improper academic assessments to increase its student enrollment and revenues.

A K12 spokeswoman did not immediately return a telephone message Monday. A spokeswoman for state education secretary Lillian Lowery say Lowery has not seen the filing and can't comment.