INVESTOR DEADLINE NeoGenomics, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit – NEO
The law firm of Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of NeoGenomics, Inc. (NASDAQ: NEO) securities between February 27, 2020 and April 26, 2022, both dates inclusive (the “Class Period”) have until February 6, 2023 to seek appointment as lead plaintiff in the NeoGenomics class action lawsuit. Captioned Goldenberg v. NeoGenomics, Inc., No. 22-cv-10314 (S.D.N.Y.), the NeoGenomics class action lawsuit charges NeoGenomics and certain of its top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the NeoGenomics class action lawsuit, please provide your information here:
CASE ALLEGATIONS: NeoGenomics provides cancer tests and testing services to doctors, clinics, hospitals, and pharmaceutical companies. Among NeoGenomics’ portfolio of tests are next generation sequencing (“NGS”) tests.
The NeoGenomics class action lawsuit alleges that throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (i) NeoGenomics was anything but a “one-stop-shop” for cancer testing because it did not offer the most technologically-advanced NGS tests, which led to a significant decrease in revenue as current and prospective customers went elsewhere for their testing needs; (ii) NeoGenomics’ costs were not fixed because NeoGenomics needed to hire additional employees to process more complex customized testing demanded by customers utilizing NeoGenomics’ outdated portfolio of tests, leading to operational challenges, decreased lab efficiency, and increased testing turnaround times; and (iii) NeoGenomics violated federal healthcare laws and regulations related to fraud, waste, and abuse.
On November 4, 2021, NeoGenomics revealed that it was “conducting an internal investigation, with the assistance of outside counsel, that focuses on the compliance of certain consulting and service agreements with federal healthcare laws and regulations” and had recently “notified the Office of Inspector General of the U.S. Department of Health and Human Services (‘OIG’) of [NeoGenomics’] internal investigation.” Additionally, NeoGenomics disclosed that it “accrued a reserve of $10.5 million in other long-term liabilities . . . associated with the federal healthcare program revenue received by [NeoGenomics].” On this news, the price of NeoGenomics common stock fell by more than 17%.