COLUMBUS, Ohio — A federal judge has appointed Ohio as lead plaintiff in a securities class-action lawsuit against ZoomInfo Technologies Inc., a software company accused of deliberately misleading investors, fueling $75.9 million in losses for two state pension funds.
On Nov. 13, Ohio Attorney General Dave Yost filed a motion asking that Ohio be named lead plaintiff in the suit.
In a motion filed on Nov. 4 in the U.S. District Court for the Western District of Washington, Yost sought the lead-plaintiff status on behalf of the Ohio Public Employees Retirement System and the State Teachers Retirement System.
The lawsuit accuses ZoomInfo of committing securities fraud by concealing a slowing demand for its product after a temporary revenue boost early in the COVID-19 pandemic.
Late last week, U.S. District Judge Tiffany M. Cartwright ruled in Ohio’s favor.
ZoomInfo, headquartered in Vancouver, Washington, provides its business clients with contact information for potential customers through subscription-based software. According to the lawsuit, the company engaged in deceptive tactics to inflate the value of its stock while falsely crediting its growth to the strength of its product.
