#USA #Los Angeles #Schall Law Firm #Fraud Investigation #GeneDx Holdings

Schall Law Firm Investigates GeneDx Holdings Corp.

The Schall Law Firm, a prominent player in shareholder rights litigation, has launched an investigation concerning GeneDx Holdings Corp. (NASDAQ: WGS). This inquiry centers on allegations of securities law violations, specifically accusing the company of disseminating false or misleading statements and withholding significant information from investors.

The situation came to light following a report from Grizzly Research published on February 5, 2025, titled "Insiders Attest That GeneDx (Nasdaq WGS) Is Actively Committing Widespread Fraud." This report paints a grim picture, asserting that GeneDx's impressive growth is less than legitimate; rather, it's allegedly a product of fraudulent practices designed to exploit government healthcare systems like Medicaid and Medicare.

One of the more controversial claims from the report suggests that the company engaged in illicit billing practices known as code stacking. This method allegedly allows GeneDx to charge insurance providers for services that do not meet the appropriate criteria for reimbursement, inflating revenue figures artificially in the process.

Moreover, the report raises serious concerns about the actions of GeneDx's top executives, including CEO Katherine Stueland and CFO Kevin Feeley. It notes a troubling pattern; these individuals have allegedly sold their shares immediately once they vested, seemingly avoiding open market purchases altogether. This behavior suggests a possible awareness of impending financial risks within the company—an insight that may not be shared with regular investors.

For stakeholders who have incurred financial losses and are looking for recourse, the Schall Law Firm is actively encouraging participation in this investigation. Potential claimants can reach out to the firm to discuss their rights at no cost. They can connect via phone or through the firm's official website.

Conclusion

As the investigation unfolds, the implications for GeneDx and its investors remain uncertain. However, the actions of the Schall Law Firm can serve as a beacon for those affected by potential wrongdoing to seek justice. The outcomes of this inquiry may reveal critical details about GeneDx's business practices and ultimately safeguard investor interests.

For those anxious to learn more or join the investigation, reach out to Brian Schall at 310-301-3335 or visit Schall Law Firm's website.