BOSTON, May 12, 2019 (GLOBE NEWSWIRE) -- Block & Leviton LLP (www.blockesq.com), a securities litigation firm representing investors nationwide, reminds investors that there has been a class action lawsuit filed against Healthcare Services Group Inc. (“Healthcare Services Group” or the “Company”) (NASDAQ: HCSG) and certain of its officers alleging violations of the federal securities laws. Shareholders are encouraged to contact Block & Leviton LLP to learn more.
The complaint that was filed in the Eastern District of Pennsylvania, and captioned Koch v. Healthcare Services Group, Inc., 2:19-cv-01227, alleges that throughout the Class Period, the Company artificially inflated the price of its securities by misrepresenting the value of the Company’s business and prospects, by overstating its earnings, and by concealing significant defects in its internal controls. Judge Eduardo C. Robreno has been assigned to the case.
The truth was revealed to shareholders on March 4, 2019, when the Company revealed that it had received a letter in November 2017 from the SEC regarding an inquiry that the SEC was conducting into EPS calculation practices and requesting that the Company voluntarily provide certain information and documents. The Company also revealed that during the fourth quarter of 2018, the Company authorized its outside counsel to conduct an internal investigation, under the direction of the Company’s Audit Committee, into matters related to an SEC subpoena which the Company had received. The Company also announced that it was unable to file its Annual Report on Form 10-K for the year ended December 31, 2018 on time.
On this news, the Company’s stock price fell $4.96 per share, or 13.14%, to close at $32.78 on March 4, 2019.
If you have purchased or otherwise acquired Healthcare Services Group securities between April 11, 2017 and March 4, 2019, and have questions about your legal rights, or possess information relevant to this investigation, you are encouraged to contact Attorney Dan DeMaria at (888) 868-2385, by email at dan@blockesq.com, or by visiting http://shareholder.law/hcsg. Additionally, those interested in serving as lead Plaintiff must apply do so before the May 21, 2019 lead plaintiff deadline.
Block & Leviton LLP was recently ranked 4th among securities litigation firms by ISS for recoveries in 2017. The firm represents many of the nation's largest institutional investors and numerous individual investors in securities litigation throughout the country. Indeed, its lawyers have recovered billions of dollars for its clients.
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CONTACT:
BLOCK & LEVITON LLP
Dan DeMaria, Esq.
(617) 398-5660 phone
260 Franklin Street, Suite 1860
Boston, MA 02110
dan@blockesq.com
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