Securities fraud case settles for $65M

By John Flynn Rooney Law Bulletin staff writer

Posted September 15, 2014 2:37 PM

A $65 million tentative settlement has been reached on behalf of shareholders in a lawsuit alleging securities fraud against a company that ran two local psychiatric hospitals. A pair of Psychiatric Solutions Inc.’s (PSI) hospitals — Riveredge Hospital in Forest Park and the Streamwood Behavioral Healthcare System — cared for wards of the state. Those two facilities were the subject of published reports about patients being harmed. One of the articles published in 2008 reported Riveredge left …

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