GeneDx (US:WGS) Prnewswireยท2025-02-11 22:20Core Viewpoint - Pomerantz LLP is investigating claims of potential securities fraud and unlawful business practices by GeneDx Holdings Corp and its executives [1][2] Group 1: Allegations Against GeneDx - Grizzly Research published a report alleging that GeneDx's growth is largely an illusion, driven by fraudulent schemes aimed at exploiting Medicaid and Medicare systems to inflate revenue [2] - The report claims that GeneDx has engaged in "code stacking," allowing the company to bill insurance providers for services that do not meet required criteria [2] - Testimonies from former employees and ongoing litigation suggest that CEO Katherine Stueland and CFO Kevin Feeley have sold their shares immediately upon vesting, indicating potential insider knowledge of imminent risks [2] Group 2: Market Reaction - Following the allegations, GeneDx's stock price fell by $4.84 per share, or 6.72%, closing at $67.18 per share on February 5, 2025 [2]