Have you lost money investing in Fulgent Genetics? If this is the case, please visit Fulgent Genetics, Inc. Shareholder Class Action Lawsuit or contact us Peter Allocco at (212) 951-2030 or [email protected] to discuss your rights.
NEW YORK, Sept. 21, 2022 (GLOBE NEWSWIRE) — Bernstein Liebhard LLP announces that on behalf of investors who own the securities of Fulgent Genetics, Inc. (“Fulgent” or the “Company”) (NASDAQ: FLGT) in between March 22, 2019 and August 4, 2022, inclusive (the “Class Period”). The lawsuit was filed in the United States District Court for the Central District of California alleging violations of the Securities Exchange Act of 1934.
Fulgent, along with its subsidiaries, provides COVID-19, molecular diagnostics and genetic testing services to physicians and patients in the United States and internationally. Fulgent must comply with the federal anti-kickback statute, which prohibits knowingly and intentionally paying “compensations” to induce or reward patient referrals, or generating business for items or services provided by federal and federal healthcare programs Stark Law prohibits a physician from referring certain designated health care services, including laboratory services, covered by the Medicare program to an entity with which the physician or immediate family member has a direct or indirect financial relationship.
Plaintiff alleges that throughout the Class Period, Defendants made materially false and misleading statements. Specifically, Plaintiff alleges that the Defendants failed to disclose: (i) Fulgent performed medically unnecessary laboratory testing, engaged in improper billing practices related to laboratory testing, and made or received compensation in violation of the Anti-Kickback Statute and the Stark Act ; (ii) accordingly, Fulgent would likely become subject to increased legal and regulatory scrutiny; (iii) Fulgent’s earnings, to the extent derived from the foregoing unlawful conduct, were unsustainable; and (iv) the foregoing, if disclosed, would be likely to subject the Company to significant financial and/or reputational damage.
On August 4, 2022, Fulgent released its second quarter 2022 financial results and announced, among other things, that the SEC is investigating certain of the Company’s reports filed with the SEC from 2018 through the first quarter of 2020. The disclosure follows the Company’s receipt of a civil investigation request from the U.S. Department of Justice “related to its investigation into allegations of medically unnecessary laboratory testing, improper billing of laboratory testing, and compensation received or provided in violation of the Anti-Kickback Statute and Stark Law.”
As a result of this news, Fulgent’s stock price fell $11.02 per share, or 17.29%, in the following two trading sessions to close on August 8, 2022 at $52.72 per share.
If you wish to appear as lead plaintiff, you must call the court no later than November 21, 2022. A lead plaintiff is a representative party acting on behalf of other group members in conducting the litigation. Your ability to participate in a recovery does not require you to serve as lead plaintiff. If you choose not to take action, you can remain an absentee class member.
If you Have purchased Fulgent Securities and/or would like to discuss your legal rights and options please visit Fulgent Genetics, Inc. Shareholder Class Action or contact us Peter Allocco at (212) 951-2030 or [email protected]
Since 1993, Bernstein Liebhard LLP has collected over $3.5 billion for its clients. In addition to representing individual investors, the firm has been retained by some of the country’s largest public and private pension funds to monitor their assets and conduct litigation on their behalf. Due to its success in litigating hundreds of court cases and class actions, the firm has been named to the National Law Journal’s Plaintiff Hot List thirteen times and has been included in The Legal 500 for ten consecutive years.
LAWYER ADVERTISING. © 2022 Bernstein Liebhard LLP. The law firm responsible for this notice is Bernstein Liebhard LLP, 10 East 40th Street, New York, New York 10016, (212) 779-1414. Past results do not guarantee or predict a similar outcome with respect to future matters.
Contact information:
Peter Allocco
Amber Liebhard LLP
https://www.bernlieb.com
(212) 951-2030
[email protected]
