An investigation for investors in Adeptus Health Inc (NYSE:ADPT) shares over potential securities laws violations by Adeptus Health Inc was announced and NYSE:ADPT stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 03/06/2017 -- Adeptus Health Inc is under investigation over potential securities laws violations. The investigation was announced on behalf of investors of Adeptus Health Inc (NYSE:ADPT) shares in connection certain financial statements made by Adeptus Health Inc.
Investors who purchased shares of Adeptus Health Inc (NYSE:ADPT), have certain options and should contact the Shareholders Foundation at email@example.com or call 858-779-1554.
The investigation by a law firm focuses on whether a series of statements by Adeptus Health Inc regarding its business, its prospects and its operations were materially false and misleading at the time they were made.
On October 27, 2016 a lawsuit was filed against Adeptus Health Inc over alleged securities laws violations. The plaintiff claims that the defendants misrepresented and failed to disclose material adverse facts regarding the Company's business and prospects, which were known to defendants or recklessly disregarded by them, including that Adeptus Health had been engaging in widespread predatory billing practices, particularly with respect to lower acuity level patients, that Adeptus Health's predatory billing practices subjected the Company to numerous known, but undisclosed, risks, including monetary risks, reputational risks, risks associated with improper financial reporting, civil or criminal sanctions, and even exclusion from federal and state healthcare programs, that the Company's financial statements had not been prepared in conformity with generally accepted accounting principles, that contrary to defendants' representations about the Company's practice of referring lower acuity patients to urgent care facilities, Adeptus Health routinely treated lower acuity patients and excessively billed them for the services it rendered, and that as a result of the foregoing, defendants lacked a reasonable basis for their positive statements about Adeptus Health's then-current business and future financial prospects.
On March 2, 2017 Adeptus Health Inc revealed that it identified material weaknesses in its internal control over financial reporting related to revenue recognition, accounts receivable, accounting for a contribution to an unconsolidated joint venture, and accounting for equity in (loss) earnings of unconsolidated joint ventures. As a result, Adeptus Health Inc is evaluating the effect of these errors in its financial statements for prior periods.
Shares of Adeptus Health Inc (NYSE:ADPT) declined to as low as $2.65 per share on March 2, 2017.
On March 3, 2017, NYSE:ADPT shares closed at $2.99 per share.
Those who purchased shares of Adeptus Health Inc have certain options and should contact the Shareholders Foundation.
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