GeneDx (US:WGS) Prnewswire·2025-03-03 18:09Core 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 GeneDx's executives, including CEO Katherine Stueland and CFO Kevin Feeley, have sold shares immediately upon vesting, indicating potential insider knowledge of imminent risks [2] Group 2: Market Reaction - Following the release of the Grizzly report, GeneDx's stock price fell by $4.84 per share, or 6.72%, closing at $67.18 per share on February 5, 2025 [2]