Robbins LLP, a renowned law firm specializing in shareholder rights litigation, has alerted investors to a class action lawsuit initiated by a shareholder on behalf of individuals and entities who purchased or otherwise acquired securities of Veradigm Inc. (NASDAQ: MDRX) between February 26, 2021, and June 13, 2023. Formerly known as Allscripts Healthcare Solutions, Inc., Veradigm is a leading healthcare technology company offering electronic health records (“EHR”), financial management, population health management, and consumer solutions to over 300,000 U.S. healthcare providers.
The lawsuit alleges that Veradigm misled investors regarding its internal controls over financial reporting. During the class period, defendants purportedly highlighted Veradigm’s robust revenue, gross margin, and EBITDA growth in quarterly earnings calls. However, these statements were allegedly false and misleading as defendants failed to disclose key information. Specifically, the complaint asserts that Veradigm overstated historical revenues by at least $20 million, artificially inflated revenue through duplicate transactions over a span of more than two years, misrepresented demand for its products and services, and failed to maintain effective internal controls over financial reporting. Moreover, Veradigm is accused of non-compliance with Generally Accepted Accounting Principles (“GAAP”) concerning appropriate revenue recognition practices.
Shareholders who believe they are similarly situated and wish to participate in the class action against Veradigm Inc. should contact Robbins LLP. The deadline for filing lead plaintiff papers is January 22, 2024. A lead plaintiff represents other class members in directing the litigation. However, shareholders are not obligated to participate to be eligible for recovery and may choose to remain absent class members. All representation is on a contingency fee basis, with shareholders incurring no fees or expenses.
Robbins LLP stands out among law firms addressing this matter by actively litigating securities class actions. Since 2002, Robbins LLP has been at the forefront of shareholder rights litigation, helping investors recover losses, enhance corporate governance structures, and hold company executives accountable for wrongdoing, with over $1 billion obtained for shareholders.
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