Semler Scientific(US:SMLR) GlobeNewswire News Roomยท2025-09-02 22:00Core Viewpoint - A class action lawsuit has been filed against Semler Scientific, Inc. for failing to disclose an investigation by the U.S. Department of Justice regarding potential violations of the False Claims Act [1][2]. Allegations and Investigations - The lawsuit alleges that Semler Scientific did not disclose a material investigation by the DOJ into violations of the False Claims Act during the class period from March 10, 2021, to April 15, 2025 [2]. - On February 28, 2025, Semler Scientific revealed it had received an initial civil investigative demand from the DOJ in July 2017, investigating whether the company violated the False Claims Act by marketing certain tests as reimbursable by Medicare [3]. - Following unsuccessful settlement discussions with the DOJ on February 11, 2025, there was a risk of a civil lawsuit being filed, which led to a significant drop in the company's stock price [3]. Settlement and Financial Impact - On April 15, 2025, Semler Scientific announced it had reached a settlement agreement with the DOJ for $29.75 million, excluding attorney fees, but noted that further payments might be necessary and the risk of a lawsuit still exists [4]. - The announcement of the settlement led to a further decline in Semler Scientific's stock price, falling by $3.40 per share, or 9.88%, to close at $31.00 on April 16, 2025 [4]. Class Action Participation - Shareholders of Semler Scientific may be eligible to participate in the class action lawsuit, with a deadline to submit paperwork by October 28, 2025, to serve as lead plaintiff [5].