CenturyLink Stock suffers after alleged billing scam reports emerge

CenturyLink stock suffered major setback after Bloomberg published a report citing a former CenturyLink employee claiming that she was fired after she reported about fraud billing practices in the company. The plaintiff Heidi Heiser has filed a lawsuit in Arizona state Superior Court that she brought up the issue to notice of CenturyLink CEO Glen Post about alleged fraud billing of customers. Heiser added that she became concerned about the issue after Walls Fargo fraud was reported in which employees were opening deposit accounts and credit card accounts without customer consent in order to achieve targets.

Heiser said that as per her estimates, the issue at CenturyLink could involve millions of dollars. Heiser worked as customer service and sales agent in the company between August 2015 and October 2016. During a companywide question and answer session, Heiser brought up the issue to notice of CEO Glen Post.

CenturyLink confirmed that the company has received the lawsuit notice and informed that the issue will be carefully reviewed. CenturyLink said that the allegations are serious and the company is committed to conduct a detailed review of the situation.

CenturyLink is currently discussing $34 billion merger with Level 3 Communications.

CenturyLink stock declined nearly 7 percent during the intraday session but recovered to close at $25.7 (down by 4.6 percent).