Metro Manila (CNN Philippines, February 14) — Former and current executives of PLDT have been slapped with a class action lawsuit in the United States, stemming from the industry giant’s controversial ₱48-billion budget overrun.
In a disclosure on Tuesday, the Manny Pangilinan-led telco said it “has learned that a securities class action lawsuit was commenced on February 6, 2023 by Sophia Olsson, a purported holder of PLDT securities, in the United States federal district court in the Central District of California.PLDT said it has not yet been served with a copy of the complaint – as required under US law – and “does not have any further information regarding the lawsuit at this time.The complaint filed by Olsson “on behalf of all other persons similarly situated” named nine former and current PLDT executives as defendants.The document stated that Olsson and the other investors acquired publicly traded PLDT securities between Jan. 1, 2019 and Dec. 19, 2022 – considered as the class period – and were “economically damaged thereby.Class period refers to a specific period during which the alleged crime was committed.Plaintiff seeks to recover compensable damages caused by Defendants’ violations of the federal securities laws under the Securities Exchange Act of 1934,” it read.The complaint also claimed PLDT officials issued “materially false and misleading statements” during the class period, concerning its business operations and prospects.The document also read that the defendants “failed” to uncover the spending overrun and address weaknesses that led to the issue.As a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of the Company’s common shares, Plaintiff and other Class members have suffered significant losses and damages,” it said.Pangilinan said in December that the company’s investigation of the budget overrun that covered four years found no anomalies or unrecorded deals.
READ: PLDT: No fraud in ₱48-B budget overrun
