PACS COURT NEWS: A Securities Fraud Class Action has been Filed on behalf of PACS Group Shareholders -- Contact BFA Law if You Suffered Losses (NYSE:PACS)

Core Viewpoint - A lawsuit has been filed against PACS Group, Inc. for alleged violations of federal securities laws, following a report by Hindenburg Research that accused the company of fraudulently accessing Medicare benefits, which significantly inflated its financial performance [14][2]. Group 1: Lawsuit Details - Investors have until January 13, 2025, to request court appointment to lead the case against PACS Group, which is pending in the U.S. District Court for the Southern District of New York [1]. - The lawsuit alleges that PACS is one of the largest operators of skilled nursing facilities in the U.S. and falsely claimed to have a successful turnaround strategy, which was actually based on illicitly accessing Medicare benefits [9]. Group 2: Financial Impact - Following the release of the Hindenburg report, PACS stock experienced a significant decline, dropping 27.8% from $42.94 on November 1, 2024, to $31.01 on November 4, 2024, and further falling 38.8% to $18.09 on November 6, 2024 [10]. - Hindenburg estimated that the alleged fraudulent scheme accounted for over 100% of PACS's operating and net income from 2020 to 2023, misleading investors about the company's growth and profitability [2]. Group 3: Company Response - On November 6, 2024, PACS announced a postponement of its Q3 earnings and disclosed that it had received civil investigative demands from the federal government regarding its reimbursement and referral practices, potentially linked to the allegations made in the Hindenburg report [16].