Investors sue PACS Group ( PACS ) amid Medicare fraud allegations.

SAN FRANCISCO, Calif.–(The News File Corporation – December 25, 2024) – PACS Group, Inc.NYSE: PACS) and some of its C-Suite executives are now embroiled in a Securities Class Action lawsuit following allegations that they engaged in deceptive Medicare practices and misled investors.

Hagens Berman urges investors who have experienced significant losses in the PACS group to file their losses now.

Class Time: April 11, 2024 – Nov. 5, 2024
Lead Plaintiff Deadline: January 13, 2025
Visit: www.hbsslaw.com/investor-fraud/pacs
Contact the organization now: PACS@hbsslaw.com
844-916-0895

PACS Group (PACS) Security Department Action (w:)

The complaint alleges that both the PACS April 2024 IPO documents and subsequent public statements by PACS and its executives misrepresented material facts regarding PACS’s operations and prospects. It alleges disclosure of several misleading practices, including PACS, which made their statements false and misleading.

1. Filing fraudulent Medicare claims.
2. Billing Medicare for Unnecessary Respiratory and Sensory Integration Treatments.
3. Falsification of license and employment documents.

The Hindenburg Report

The lawsuit follows a Nov. 4, 2024, report by the Hindenburg Investigations, a five-month inquiry that included interviews with former employees and competitors, alleging that PACS’ business model is based on exploiting taxpayer-funded health care programs. The report PACS:

• For many patients, they have misused the Covid-era waiver to access Medicare benefits.
• Created patient records to increase revenue and income.
• Engaged in fraudulent licensing practices to evade regulatory scrutiny.

In the year On November 4, 2024, after the release of the Hindenburg Report, PACS Group’s stock price fell more than 27% to $11.93.

Federal investigation

The situation escalated on November 6, 2024, when PACS said it had received requests for a civil investigation from the federal government into its payment and transfer practices, which may be related to a recent third-party report. Additionally, PACS announced the postponement of its Q3 2024 financial results, causing shares to fall more than 38%, closing at $18.09 – a significant discount from the $21 IPO price.

Hagen Berman’s investigation

In response, Hagens Berman launched an investigation into PACS Group’s business practices and disclosures.

“Our investigation is investigating whether PACS Group systematically defrauded Medicare, causing significant financial harm to taxpayers and investors,” said Reed Kathryn of Hagen Berman. “We are particularly concerned about the misuse of covid-era waivers and falsified patient records to increase revenue.”

If you’ve invested in PACS Group or have expertise that could help the firm’s investigation, file your claim now »

If you want more information and answers to frequently asked questions about PACS and our research, read more »

Drivers: Persons with non-public information regarding a PACS group should consider their options for assisting in an investigation or using the SEC’s whistleblower program. Under the new program, whistleblowers who provide original information can receive awards of up to 30 percent of any successful recoveries made by the SEC. For more information, call Reed Kathrein at 844-916-0895 Or email PACS@hbsslaw.com.

# # #

About Hagens Berman
Hagens Berman is a global plaintiffs’ rights complex litigation firm focusing on corporate liability. The firm has a strong practice and represents investors as well as whistleblowers, employees, consumers and others who have achieved real results for those affected by corporate negligence and other wrongdoing. The Hagens Berman Group has earned more than $2.9 billion in this area of ​​law. More about the firm and its achievements can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.

To view the source of this press release, please visit https://www.newsfilecorp.com/release/235179.