A health care company recently was at the center of litigation filed on behalf of its shareholders after allegations of securities law violations surfaced.
Law office Rigrodsky and Long, P.A., filed a securities class action claim against Merge Healthcare Incorporated in the U.S. District Court for the Northern District of Illinois. This is for all stockholders who purchased interests in the company during the class period between Aug. 1, 2012, and Jan. 7, 2014.
Shareholders alleged that the company's officers violated the Securities Exchange Act of 1934. This included potentially incorrect statements related to financial performance of Merge Healthcare. The company's eClinical contracts may have been incorrect or otherwise fake, which made six quarters of financial performance inaccurate. It also did not have reliable financial reporting, among other issues. These made stock rise when it should not have.
Any shareholders who have an interest in being lead plaintiff need to contact the court and file the proper documents before the end of March 17, 2014. Approval will depend on a number of items, namely whether the stockholder would represent the class adequately. It is not mandatory to apply for lead plaintiff in order to collect in the event of a favorable decision.
For those who acquired stock during the aforementioned class period, or held shares from the company throughout the timeline, it is possible to speak with the law office in order to learn more information about the case. This can include questions and concerns about the interests and rights related to the law suit. Timothy MacFall and Peter Allocco are the best contacts, and can be reached by mail, email or telephone. It is also possible to visit the office's website to read further into the case.
Investigation also begins
While one class action lawsuit was noted, another office recently began looking into many of the aforementioned shareholder claims.
Law office Cohen, Placitella and Roth, P.C., noted it is examining the same class period in its investigation process of Merge Healthcare. The firm explained that the potential violations are related to Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
It is possible to contribute to the investigation by speaking with the law office. Contacting Eduardo Texidor is best, and he can be reached by email or by phone. Shareholders are also welcome to pose questions related to their rights.