The Law Office of Robbins Umeda LLP Announces Investigation of NIC Inc by EON

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									The Law Office of Robbins Umeda LLP
Announces Investigation of NIC Inc.
August 26, 2010 03:22 PM Eastern Daylight Time  

SAN DIEGO--(EON: Enhanced Online News)--Robbins Umeda LLP has commenced an investigation into
possible breaches of fiduciary duty and other violations of the law by certain officers and directors at NIC Inc.
("NIC" or the "Company") (NASDAQ: EGOV). NIC provides eGovernment services, including Internet websites
and applications, for accessing government information online and secure government payment processing solutions.
The Company operates in two segments: Portal Outsourcing and Software Services. NIC was founded in 1991 and
is based in Olathe, Kansas.

On August 5, 2010, NIC disclosed that the U.S. Securities & Exchange Commission ("SEC") Division of
Enforcement "is considering recommending that the SEC authorize a civil injunctive action against the Company and
its officers alleging violations of various provisions of federal securities laws." This disclosure related to allegations
that payments were made for the reimbursement of personal expenses, rather than business expenses, to Jeffrey S.
Fraser – the Company's former chairman and chief executive officer. The ongoing SEC investigation, and the
Company's own internal review, indicates that this mismanagement and misappropriation has been occurring since at
least 2004. The Company's statement also indicated that the SEC "believes that the Company and its Officers should
have responded sooner and more completely to indications of potential misconduct by Mr. Fraser."

Robbins Umeda LLP's investigation concerns whether NIC's Board of Directors and executive officers acted in
accordance with their fiduciary duties by creating an adequate system of internal controls to detect and prevent this
type of improper expense reimbursement. Specifically, Robbins Umeda LLP is investigating whether the Company's
fiduciaries acted consistent with their duties by exercising proper monitoring over this system, if one existed, and over
the Company in general. Robbins Umeda's investigation also concerns whether the Company's officers and directors
improperly delayed responding to potential misconduct by Mr. Fraser.

If you are a shareholder of the NIC, plan to continue to hold your shares, and would like more information about
your rights as a shareholder, please contact attorney Gregory E. Del Gaizo at 800-350-6003 or by e-mail at
info@robbinsumeda.com.

Robbins Umeda LLP is a California-based law firm, which has significant experience representing investors in
shareholder derivative actions, securities fraud class actions, and merger-related shareholder class actions. For more
information about the firm, please go to http://www.robbinsumeda.com.

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Contacts
Robbins Umeda LLP
Gregory E. Del Gaizo, 800-350-6003
info@robbinsumeda.com

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