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Beazer Homes USA (NYSE: BZH) is a Fortune 500
American homebuilding company based in Atlanta, Georgia. The company builds and
sells primarily single-family homes in twenty states of the continental United
States. It also offers home mortgage services through its subsidiary, Beazer
Mortgage Corporation. In 2006 and 2007 Beazer Homes USA won awards across the
country in various Parade of Homes events.
2007 investigations and litigation
In March 2007, Beazer received a grand jury subpoena
from the U.S. Attorney's Office in the United States District Court for the
Western District of North Carolina seeking documents related to its mortgage
origination services. Media reports have indicated that the company is under
federal investigation for alleged mortgage fraud, a charge the company denies.
Beazer has said the U.S. Attorney's Office has "made no allegations of
wrongdoing by Beazer Homes at this time and that the statements made by an
Federal Bureau of Investigation spokesperson about the fact of an investigation
and the scope of the investigation were unauthorized, and should not have been
made."
Beazer reported in a Securities and Exchange
Commission (SEC) filing on May 3, 2007 that the SEC has launched an informal
investigation of the company. The company said that the inquiry will determine
whether any person or entity related to Beazer Homes has violated federal
securities laws.
Beazer also has been named as a defendant in a
putative securities class action lawsuit and a putative homeowner class action
lawsuit. And it has recently learned a second putative homeowner class action
lawsuit has been filed in South Carolina and that it has been named as a
nominal defendant in a shareholder derivative complaint filed against some of
its current and former executive officers and directors claiming violations and
breaches of fiduciary duty related to the company's mortgage origination
business. The company said it is cooperating with the U.S. Attorney and the
document production request and intends to vigorously defend each of the
lawsuits.
Atlanta
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Dallas
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Dallas
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Dallas
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Houston
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Inland Empire
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Myrtle Beach
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Myrtle Beach
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Phoenix
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Phoenix
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Phoenix
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Phoenix
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