Lincoln Educational Services Sued for Securities Fraud
News related to:Lincoln Educational Services Corporation · 1 min read
NEW YORK, Sept. 16, 2026 /CourierPR/ -- A class action lawsuit has been filed against Lincoln Educational Services Corporation (NASDAQ:LINC) and certain of its senior executives for securities fraud, following a significant drop in the company's stock price. The lawsuit, announced by the leading securities law firm Bleichmar Fonti & Auld LLP, alleges that Lincoln misrepresented the effectiveness of its admissions process and concealed a significant drop in student starts relative to enrollment.
On August 10, 2026, Lincoln reported earnings for the second quarter of 2026, revealing that student starts had increased by only approximately 1% despite a 9% growth in enrollment.
The news sent Lincoln's stock plummeting, dropping $10.22 per share, or 24.93%, from a closing price of $40.99 per share on August 7, 2026, to $30.77 per share on August 10, 2026. The lawsuit, captioned Bacha v. Lincoln Educational Services Corporation, et al., No. 26-cv-11842, is pending in the U.S. District Court for the District of New Jersey.
Lead plaintiff deadlines for the lawsuit are set for November 10, 2026. Investors who purchased Lincoln securities are encouraged to obtain additional information by visiting the BFA Law website at www.bfalaw.com/cases/lincoln-educational-class-action-lawsuit.
The complaint asserts that Lincoln engaged in securities fraud by violating Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. BFA Law, a leading international law firm representing plaintiffs in securities class actions and shareholder litigation, is handling the case. The firm has a history of notable successes, including a recovery of over $900 million in value from Tesla, Inc.'s Board of Directors and $420 million from Teva Pharmaceutical Industries Ltd.