An investor in NYSE:S shares filed a lawsuit against certain officers and directors of Sprint Nextel Corporation in connection allegations that Sprint Nextel Corporation knowingly evaded New York state taxes.
Investors who are a current (long-term) stockholders of Sprint Nextel Corporation (NYSE:S), have certain options and should contact the Shareholders Foundation at mail(at)shareholdersfoundation.com or call +1(858) 779 – 1554.
According to the complaint the plaintiff alleges that the defendants breached their fiduciary duties by allowing Sprint Nextel to allegedly underpay sales tax despite warnings, which led to a lawsuit filed by New York Attorney General that potentially exposes Sprint Nextel to millions of dollars.
On April 19, 2012, the New York Attorney General sued Sprint Nextel Corporation and three other related entities under the New York False Claims Act for a potentially more than $300 million over deliberately failing to pay sales taxes for seven years. The New York Attorney General took over the originally filed whistleblower lawsuit filed in March 2011. The lawsuit claims that Sprint Nextel Corporation has underpaid and under-collected sales and local millions of dollars in New York state and local sales taxes on its calling plans for more than seven years and concealed this practice from taxing authorities, its competitors, and its customers.
In a statement on April 19, 2012 Sprint Nextel denied the allegations and said they “collected and paid over to New York every penny of sales taxes on mobile wireless services that we believe our customers owe under New York state law.”
Shares of Sprint Nextel Corporation (NYSE:S) closed on May 15, 2012 at $2.47 per share, significantly down from its 52weeksHigh of $6.45 per share.
Those who are current long term investors in Sprint Nextel Corporation (NYSE:S) shares, have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North – Suite 423
92108 San Diego