BOISE -- A private for-profit company hired to provide curriculum for Idaho's largest online charter school is the target of a lawsuit alleging federal securities fraud.
A complaint filed in Virginia last week alleges K12 Inc. officials made false and misleading statements regarding the company's business and financial results in order to inflate K12's stock price.
The lawsuit was filed on behalf of investors who bought K12 stock between 2009 and last year. It alleges among other things that K12 used deceptive student recruiting practices and improper academic assessments to increase its enrollment and revenues.
K12 disputes the claims.
A spokeswoman for Idaho Superintendent of Public Instruction Tom Luna says the lawsuit is not related to any schools in the state. K12 provides curriculum to schools including the Idaho Virtual Academy.
