SAN FRANCISCO, Sept. 22, 2022 (GLOBE NEWSWIRE) — Hagens Berman is urging Fulgent Genetics, Inc. (NASDAQ:FLGT) Investors who have suffered significant losses are now reporting their losses. A class action lawsuit alleging securities fraud was filed after Fulgent announced that the DOJ and SEC were investigating.
school lesson: March 22, 2019 – August 4, 2022
Deadline for lead plaintiff: November 21, 2022
Contact a lawyer now: [email protected]
Securities Fraud Class Action Filed By Fulgent Genetics, Inc. (NASDAQ:FLGT):
The litigation focuses on Fulgent’s previously claimed “very strong” and “really excellent” financial results.
The Complaint alleges that the Defendants made materially false and misleading statements and failed to disclose the following: (1) Fulgent performed medically unnecessary laboratory testing, engaged in improper billing practices related to laboratory testing, and paid compensation in violation of the Anti-Kickback Act or received and Stark Law; (2) accordingly, Fulgent would likely be subject to increased legal and regulatory scrutiny; and (3) Fulgent’s revenues, to the extent derived from unlawful conduct, were unsustainable.
According to the complaint, investors learned the truth on August 4, 2022 when Fulgent announced its Q2 2022 financial results and startled investors with its additional disclosure that the SEC was investigating the company’s 2018 – Q1 2020 financial reports and the DOJ investigated allegations of medically unnecessary laboratory testing, improper billing for laboratory testing, and compensation received or granted in violation of federal and California laws.
That news sent Fulgent’s stock price plummeting more than 17% over the next two trading days, wiping out over $300 million in shareholder value.
“We are focused on investors’ losses and proving that Fulgent lied about the legitimacy of its reported earnings and its growth prospects,” said Reed Kathrein, the partner at Hagens Berman who led the investigation.
If you have invested in Fulgent and are experiencing significant losses or have knowledge that could assist the firm’s investigations, click here to discuss your legal rights with Hagens Berman.
Whistleblower: Individuals with nonpublic information about Fulgent should consider their ability to assist in the investigation or use the SEC’s whistleblower program. Under the new program, whistleblowers who provide original information can receive awards totaling up to 30 percent of each successful SEC recovery. For more information, call Reed Kathrein at 844-916-0895 or email [email protected]
About Hagens Bermann
Hagens Berman is a global plaintiffs’ rights litigation firm focused on corporate accountability through class actions. The firm has a robust securities disputes practice, representing investors as well as whistleblowers, employees, consumers and others in cases seeking real results for those harmed by corporate negligence and fraud. To learn more about the firm and its accomplishments, visit hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Reed Kathrein, 844-916-0895