SAN DIEGO, CA / ACCESSWIRE / March 20, 2017 / The Shareholders Foundation, Inc. announces that a lawsuit is pending in Ohio for certain purchasers of shares of HCP, Inc. (HCP) over alleged Securities Laws Violations by HCP, Inc.
Investors, who purchased shares of HCP, Inc. in February 2015 or earlier and currently hold any of those NYSE: HCP shares, have certain options and should contact the Shareholders Foundation at email@example.com or call +1(858) 779-554.
The lawsuit was originally filed in May 2016, and is currently pending against HCP, Inc. The plaintiff alleged that the defendants violated Federal Securities Laws by issuing allegedly false and misleading press releases, financial statements, filings with the U.S. Securities and Exchange Commission ("SEC"), and statements during investor conference calls. More specifically, the plaintiff alleged that HCP Inc. was highly dependent upon the operations of ManorCare, a nursing home operator, which served as HCP Inc.'s most significant client, that prior to March 2015 HCP Inc. invested directly in ManorCare, purchasing substantially all of ManorCare's real estate facilities (which were then leased back to ManorCare) and taking a 10% equity stake in ManorCare, and that as a result of that transaction, ManorCare had a significant impact on several aspects of HCP Inc.'s operations and was highly important to HCP Inc. investors.
The plaintiff claims that the defendants misrepresented ManorCare's financial performance, the value of HCP Inc.'s ManorCare assets, and that HCP Inc.'s revenue stream from ManorCare leases was secure. Moreover, HCP Inc. and ManorCare represented that ManorCare had "a long history of compliance with regulations," and that ManorCare's billing practices had been "audited" in the past and were "to the standard one would want," and that as result of these misrepresentations, HCP Inc. common stock traded at allegedly artificially inflated prices between March 30, 2015 and February 8, 2016.
The plaintiff alleged that the defendants knew or recklessly disregarded that ManorCare was engaged in rampant billing fraud, which allegedly generated false claims for "reimbursement" submitted to government programs. ManorCare's billing fraud was the subject of multiple whistleblower lawsuits, and an investigation by the United States Department of Justice ("DOJ").
Those who purchased shares of HCP, Inc. in February 2015 or earlier and currently hold any of those NYSE:HCP shares should contact the Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
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SOURCE: Shareholders Foundation, Inc.