Levi & Korsinsky is investigating the Board of Directors of Hewitt Associates, Inc. (“Hewitt” or the “Company”) (NYSE: HEW) for possible breaches of fiduciary duty and other violations of state law.
On July 20, 2010, Hewitt announced that it had entered into a definitive agreement to acquire EnnisKnupp, a provider of investment advisory services to large institutional investors. Once this transaction is complete, Hewitt claims that it will be one of the largest providers of investment consulting services, with nearly $3 trillion in assets under advisement. Russ Fradin, chairman and chief executive officer of Hewitt, has stated with regard to this transaction that “the potential to combine forces with EnnisKnupp were also real positives for Aon in our proposed transaction.” Hewitt has recently announced a definitive agreement to merge with Aon Corporation (“Aon") (NYSE: AON) in which Hewitt shareholders will receive a combination of $25.61 in cash and 0.6362 percent of a share of AON stock for each Hewitt share of common stock they own. The transaction is expected to close as early as October 2010.
The investigation concerns, among other things, whether the Hewitt Board of Directors breached their fiduciary duties to its stockholders by entering into a transaction with EnnisKnupp not for the benefit of Hewitt shareholders, but at the direction of AON, and for the benefit of AON. Considering that Hewitt had not previously shopped itself prior to entering into an agreement to be acquired by AON, and that Russ Fradin, will serve as Chairman and Chief Executive Officer of the combined company, the investigation focuses on whether Hewitt’s Board is no longer acting independently but at the direction of AON.
If you own common stock in Hewitt and wish to obtain additional information about this investigation and what is being done to advance the shareholders’ interests, please contact Joseph E. Levi, Esq. either via email at
or by telephone at (212) 363-7500 or visit
Levi & Korsinsky has expertise in prosecuting investor securities litigation and extensive experience in actions involving financial fraud and represents investors throughout the nation, concentrating its practice in securities and shareholder litigation.