March 28 Signet Jewelers Ltd has been
hit with a securities fraud class action lawsuit, accusing the
retailer of failing to disclose facts regarding sexual
harassment allegations against executives at its Sterling
Jewelers unit, court documents showed.
The lawsuit, filed on Tuesday in Dallas federal court by
Irving Firemen's Relief & Retirement Fund, claimed the fund
suffered economic loss as a result of violations of the
securities laws by Signet.
The lawsuit accused the company of disseminating false or
misleading statements to the public about the true nature and
severity of the allegations made by former employees.
Signet did not immediately respond to an email seeking
comment on the lawsuit.
The Washington Post reported last month that hundreds of
former employees sued the retailer, which owns the Kay and Jared
brands, for leading a corporate culture that "fostered rampant
sexual harassment and discrimination."
Employees accused Sterling of wage violations and argued
that the company paid male employees higher salaries than
females, who were also often overlooked for promotions, the
Washington Post reported. wapo.st/2ow243k
Sterling said in February it has "thoroughly investigated"
the allegations and "concluded they are not substantiated by
Earlier this month, Signet said it would review its equal
opportunities and other workplace-related policies, as it
stepped up efforts to contain the damage from the sexual
Signet also said it would form a board committee that will
consist of four female directors and focus on the advancement of
its women employees.
The case is in the U.S. District Court for the Northern
District of Texas, Dallas division, Case No: 3:17-cv-00875-D.
(Reporting by Vishal Sridhar in Bengaluru; Editing by Gopakumar