Frank Bisignano, who serves simultaneously as Commissioner of the Social Security Administration and CEO of the Internal Revenue Service, is a defendant in several major lawsuits. The Frank Bisignano lawsuits fall into three groups: securities fraud and shareholder derivative cases tied to the October 2025 collapse of Fiserv, the financial technology company he ran until May 2025; a class action over how the SSA calculates children’s insurance benefits, in which he is the named government defendant; and litigation against the SSA over its cooperation with the Department of Government Efficiency. He also faces a congressional investigation into his Fiserv stock sales and a federal contract awarded to a Fiserv subsidiary, along with parallel probes by the SEC and the U.S. Attorney’s Office for the Southern District of New York.
The Fiserv Securities Class Action
The largest private case naming Bisignano is a consolidated securities class action in the U.S. District Court for the Southern District of New York, captioned In re Fiserv, Inc. Securities Litigation, Case No. 1:25-cv-06094. It was originally filed in July 2025, before the stock crash, and alleged that Fiserv’s statements about the growth of its Clover business-management platform were false or misleading during a class period of July 22, 2024, through July 24, 2025. Defendants include Fiserv, Bisignano, current CEO Michael Lyons, former CFO Robert Hau, and Kenneth Best.1SEC. Fiserv Inc. SEC Filing – Legal Proceedings
The case grew after Fiserv’s stock collapse. On October 29, 2025, Lyons withdrew the company’s earnings outlook and told investors that financial forecasts set under Bisignano were based on assumptions that were “objectively difficult to achieve.”2Wall Street Journal. Fiserv Erases $30 Billion in Market Value After New CEO Pulls Guidance Lyons said Bisignano’s decisions to “defer certain investments and cut certain costs” had improved short-term margins but were “limiting our ability to serve clients… execute product launches… and grow revenue to our full potential.”3New York Times. Frank Bisignano Fiserv Stock Price Shares fell from $126.17 to roughly $70.60 in a single day, a 44% drop that erased about $30 billion in market value.4Berger Montague. Fiserv Securities Class Action
New suits followed in the Eastern District of Wisconsin. One, brought by Luxembourg-based Cypanga Sicav SIF, alleged Fiserv misled investors on revenue growth guidance based on “faulty data” and covered a class period of July 23, 2025, through October 29, 2025.5Payments Dive. Fiserv Shareholders Sue Again Judge J.P. Stadtmueller consolidated the Wisconsin suits in February 2026, ordered them transferred to the Southern District of New York in April 2026 to avoid “duplication of efforts and inconsistent rulings,” and the New York court accepted the cases in May 2026. Lead plaintiffs Ethenea Independent Investors SA and the City of Hollywood Police Officers’ Retirement System were appointed in November 2025.6Payments Dive. Judge Combines Fiserv Lawsuits Fiserv has said it intends to “vigorously defend” the cases.1SEC. Fiserv Inc. SEC Filing – Legal Proceedings
Shareholder Derivative Suits and Insider Trading Allegations
A separate track of litigation targets Bisignano personally. Between December 2025 and February 2026, shareholders Richard Martin, Nathan Silva, and Gary Peterson filed derivative suits in the Eastern District of Wisconsin against Bisignano and other Fiserv officers and directors. The complaints allege breaches of fiduciary duty and claim that inflated share prices were used to justify $7.9 billion in stock buybacks.7Law360. Martin et al v. Bisignano et al
The derivative suits also allege that Bisignano and another officer sold Fiserv shares while the stock was artificially inflated, reaping proceeds of more than $600 million.7Law360. Martin et al v. Bisignano et al As of early 2026, the defendants had not yet answered the complaints.1SEC. Fiserv Inc. SEC Filing – Legal Proceedings
SEC and DOJ Investigations
Alongside the private suits, Fiserv has disclosed in SEC filings that it is cooperating with investigations by the SEC Enforcement Division and the U.S. Attorney’s Office for the Southern District of New York into the company’s 2025 earnings guidance. The company has said it cannot yet determine potential liability or damages.1SEC. Fiserv Inc. SEC Filing – Legal Proceedings
Congressional Probe Into Stock Sales and a Federal Contract
On November 7, 2025, Senators Ron Wyden and Elizabeth Warren opened a formal investigation into Bisignano’s move from Fiserv to government.8Senator Elizabeth Warren. Warren, Wyden Probe Social Security Chief Bisignano The probe centers on his stock sales and a Treasury contract.
At the time of his confirmation in May 2025, Bisignano held approximately $594 million in Fiserv stock. He divested in May and July 2025 for an estimated $530 million, avoiding roughly $300 million in losses when the stock later collapsed.9Senate Finance Committee. Wyden Warren Fiserv Letter The New York Times reported that had he held the shares through the end of October, they would have been worth about $215 million.3New York Times. Frank Bisignano Fiserv Stock Price
The senators are also examining the Direct Express contract, a Treasury program that distributes Social Security and other federal benefits through prepaid debit cards to more than 3.4 million Americans. In September 2025, Fiserv subsidiary Money Network Financial was selected to run the program with Fifth Third Bank, reversing a November 2024 award to BNY Mellon.10Banking Dive. Fifth Third Replaces BNY as Direct Express Partner Wyden and Warren said Bisignano did not disclose active contract negotiations between Fiserv and the federal government during his confirmation and pressed for answers on whether he was aware of or involved in them. They also asked whether he or other Fiserv employees discussed the company’s financial projections, which relied heavily on growth in the Argentine payments market, or the Trump administration’s $40 billion Argentina bailout with administration officials.11GovExec. SSA Chief Bisignano Faces Probe by Wyden and Warren
The senators asked Fiserv’s current CEO to respond by November 20, 2025, and to say whether the company would waive non-disclosure agreements so Bisignano could answer congressional inquiries.9Senate Finance Committee. Wyden Warren Fiserv Letter
LNP v. Bisignano: SSA Benefits Class Action
In a case unrelated to Fiserv, Bisignano is a named defendant in his official capacity as SSA Commissioner in LNP v. Bisignano, Case No. 1:24-cv-01196, in the U.S. District Court for the Eastern District of Virginia.12LNP Class Action. LNP v. Bisignano The class action challenges the formula the SSA uses to calculate children’s insurance benefits for the children of early retirees, and the court has ruled that the agency’s calculation method is incorrect.13LNP Class Action. LNP v. Bisignano FAQ
The class includes children of early retirees who received benefits between May 10, 2024, and May 30, 2025. Plaintiffs are seeking a court order requiring the SSA to recalculate past-due benefits, pay any shortfalls, and apply the correct formula going forward.13LNP Class Action. LNP v. Bisignano FAQ The court entered a final judgment on April 27, 2026, granting in part and denying in part both sides’ motions for summary judgment, and issued an amended final judgment on May 22, 2026. The SSA has indicated it will likely appeal, and a hearing on attorneys’ fees is set for July 10, 2026.14LNP Class Action. LNP v. Bisignano Court Orders
DOGE-Related Litigation at the SSA
Several ongoing cases target the SSA under Bisignano’s leadership over its cooperation with DOGE.
AFSCME v. SSA
In February 2025, a coalition of labor unions and retiree groups led by AFSCME sued the SSA and DOGE in the U.S. District Court for the District of Maryland, alleging that DOGE personnel had been given “unfettered access” to agency systems containing Americans’ personal, financial, and medical data in violation of the Privacy Act of 1974 and the Administrative Procedure Act. The district court issued a preliminary injunction limiting that access in April 2025, and the Fourth Circuit declined to stay it. On June 6, 2025, the U.S. Supreme Court granted the government’s stay request, allowing DOGE access to continue during the appeal.15U.S. Supreme Court. Social Security Administration v. AFSCME Bisignano called the ruling a “major victory for American taxpayers.”16U.S. House of Representatives. Larson Calls for Action to Protect Social Security From DOGE Meddling
In January 2026, a Department of Justice filing in the case disclosed that a review of former DOGE team activities had identified potentially noncompliant conduct, including use of an unapproved third-party Cloudflare server, raising concerns that data had been disclosed outside government systems.17FedScoop. DOGE Access Social Security Data Court Filing18AFSCME. Trump Administration Admits to Mishandling Private Social Security Data19U.S. Court of Appeals for the Fourth Circuit. AFSCME v. SSA Opinion20Democracy Forward. Stopping DOGE’s Unlawful Seizure of Americans’ Social Security Data
FOIA Suit Over the Voter Data Agreement
Democracy Forward Foundation filed a FOIA lawsuit in March 2026 seeking records about the voter data agreement signed by DOGE personnel at the SSA. The SSA released 61 pages of heavily redacted records in response, citing law enforcement and deliberative process exemptions.21Democracy Forward. Investigating Data Sharing of Americans’ Sensitive Information
Death Master File Whistleblower Complaint
In June 2026, former SSA senior executive Jeremiah Schofield filed a whistleblower complaint alleging that DOGE officials had proposed marking 2.7 million living individuals as dead in the SSA’s Death Master File. According to Schofield, a DOGE official named Jon Koval said the goal was to ruin the subjects’ lives, force them to “self-deport,” or facilitate their detention by ICE when they appeared at local offices to prove they were alive. Senators Warren and Richard Blumenthal made the complaint public and sent letters to Bisignano demanding answers and preservation of related records.22WhistleblowerAid. Trump Administration Weaponized Social Security Records
At a June 10, 2026, hearing before a House Ways and Means subcommittee, Bisignano testified that the SSA has not “knowingly” added living individuals to the Death Master File and denied any plans to do so. He said the agency had appointed new heads of risk management and cybersecurity to safeguard the database.23FedScoop. SSA Death Master File Living People Frank Bisignano
Where Things Stand
The consolidated securities class action is proceeding in the Southern District of New York with lead plaintiffs appointed and Wisconsin cases folded in. The derivative suits alleging insider trading are pending in Wisconsin, and the SEC and U.S. Attorney’s Office investigations remain open. LNP v. Bisignano has produced an amended final judgment against the SSA, with an appeal expected. The AFSCME litigation is back in the district court after the Fourth Circuit vacated the injunction, and the Death Master File allegations remain under congressional review. The congressional probe into Bisignano’s stock sales and the Direct Express contract is active, and neither Bisignano nor Fiserv has publicly responded to it in the record available.