Berman Tabacco is sole Lead Counsel representing sole lead plaintiff Alameda County Employees’ Retirement Association in a securities fraud class action lawsuit against Veradigm Inc. (“Veradigm”) and certain of its executive officers on behalf of all persons who acquired publicly traded Veradigm securities between February 26, 2021 and December 7, 2023, inclusive (the “Class Period”). Veradigm is a healthcare technology company that offers electronic health records, financial management, population health management, and consumer solutions to hundreds of thousands of healthcare providers. The case, which was brought under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as well as SEC Rule 10b-5, alleges that the company made materially false and misleading statements during the Class Period regarding its revenues, gross margins, and earnings growth. More specifically, Plaintiffs allege that Veradigm (a) overstated its historical revenues by at least $20 million; (b) artificially inflated its revenue by recording duplicate transactions, among other things, over a more-than-two-year period; (c) artificially inflated its earnings and margins and materially misrepresented demand for the company’s products and services during the Class Period; (d) failed to maintain effective internal controls over its financial reporting; and (e) failed to comply with Generally Accepted Accounting Principles (“GAAP”) regarding appropriate revenue recognition practices; and that as a result of the foregoing, the Company’s financial projections were materially false and misleading and lacked any reasonable basis. Despite first identifying the issue over a year ago in February 2023, the Company has, as of March 2024, yet to restate those financials or file the yet-to-be filed tardy financial statements. On February 29, 2024, Veradigm was delisted by NASDAQ after failing to cure identified issues by that NASDAQ-imposed deadline.
