SAN FRANCISCO, Jan. 05, 2021 (GLOBE NEWSWIRE) -- Hagens Berman urges SolarWinds Corporation (NYSE: SWI) investors with significant losses to submit your losses now. A securities fraud class action has been filed and certain investors may have valuable claims.
SolarWinds Corporation (SWI) Securities Fraud Class Action:
The complaint alleges that throughout the Class Period, Defendants misrepresented and concealed that: (1) since mid-2020, SolarWinds’ Orion monitoring products had a vulnerability that allowed hackers to compromise the server upon which the products ran; (2) SolarWinds' update server had an easily accessible password; and (3) consequently, SolarWinds' customers, including the Federal Government, Microsoft, Cisco, and Nvidia, were vulnerable to hacks.
Investors allegedly began to learn the truth on Dec. 13, 2020 when Reuters reported Russian hackers had infiltrated the U.S. Treasury and Commerce departments’ systems by tampering with SolarWinds updates.
Then, on Dec. 14, 2020 SolarWinds confirmed the vulnerability was inserted in its Orion monitoring products and existed in updates released between March and June 2020.
On Dec. 15, 2020, Reuters reported that (1) a security researcher alerted SolarWinds last year that anyone could access the company’s update server by using the password “solarwinds123,” and (2) a cyber security expert noticed that even days after SolarWinds knew their software was compromised the malicious updates were still available for download.
Significantly, shortly before these events unfolded and caused SolarWinds shares to crater, two investors controlling a majority of SolarWinds’ board of directors sold $285 million of SolarWinds shares.
“We’re focused on proving that SolarWinds knew about the security vulnerabilities before disclosing them,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
Whistleblowers: Persons with non-public information regarding SolarWinds Corporation should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email SWI@hbsslaw.com.
About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Reed Kathrein, 844-916-0895