Core Viewpoint - A lawsuit has been filed against PACS Group, Inc. and its senior executives for potential violations of federal securities laws, alleging misconduct related to Medicare benefits access [1][2][3]. Group 1: Lawsuit Details - The lawsuit is pending in the U.S. District Court for the Southern District of New York, titled Manchin v. PACS Group, Inc., et al., No. 24-cv-08636 [2]. - Investors have until January 13, 2025, to request to be appointed to lead the case [2]. Group 2: Allegations Against PACS - PACS is alleged to be one of the largest operators of skilled nursing facilities in the U.S., claiming to have a successful turnaround strategy for profitability [3]. - The complaint asserts that PACS's turnaround was based on illicitly accessing Medicare benefits for thousands of patients [3]. - A report by Hindenburg Research accused PACS of abusing a COVID-era waiver to improperly access Medicare benefits, estimating that this scheme accounted for over 100% of PACS's operating and net income from 2020 to 2023 [4]. Group 3: Stock Price Impact - Following the allegations, PACS's stock price fell significantly, dropping 27.8% from $42.94 to $31.01 on November 4, 2024, and then 38.8% from $29.54 to $18.09 on November 6, 2024 [4].
PACS INVESTOR NOTICE: PACS Group Investors are Notified of Upcoming January 13 Class Action Deadline – Contact BFA Law if You Lost Money (NYSE:PACS)