ModivCare (MODV) Prnewswire·2025-03-17 09:45Core Viewpoint - ModivCare Inc. is facing allegations of making false statements and concealing information that negatively impacted its financial performance, particularly in its Non-Emergency Medical Transportation (NEMT) segment [1]. Group 1: Allegations and Financial Impact - The complaint alleges that certain contracts in ModivCare's NEMT segment led to a deterioration in the company's free cash flow [1]. - As a result of these issues, the company experienced negative impacts on its adjusted EBITDA due to contract renegotiations and pricing accommodations [1]. - The company reportedly faced insufficient liquidity, and the defendants' positive statements regarding the company's business and prospects were misleading and lacked a reasonable basis [1]. Group 2: Class Action Details - The class period for the allegations spans from November 3, 2022, to September 15, 2024 [1]. - Shareholders who purchased shares during this period are encouraged to register for the class action, with a deadline set for March 31, 2025 [2]. - Participants will be enrolled in a portfolio monitoring software to receive updates throughout the case lifecycle, and there is no cost or obligation to participate [2]. Group 3: Law Firm's Commitment - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting investors' rights against deceit and fraud [3]. - The firm aims to ensure companies adhere to responsible business practices and seeks recovery for investors who suffered losses due to misleading statements or omissions [3].