Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $100,000 Investing In HCP, Inc. To Contact The Firm Before Lead Plaintiff Deadline
Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in HCP, Inc. (“HCP” or the “Company”) (NYSE:HCP) of the July 11, 2016 deadline to seek the role of lead plaintiff in a federal securities class action lawsuit filed against the Company and certain officers.
The lawsuit has been filed in the U.S. District Court for the Northern District of Ohio on behalf of all those who purchased HCP stock between March 30, 2015 and February 8, 2016 (the “Class Period”). The case, Boynton Beach Firefighters' Pension Fund v. HCP, Inc., et al., No. 3:16-cv-01106 was filed on May 9, 2016.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose HCP’s business partner ManorCare was engaged in rampant billing fraud.
Specifically, on April 21, 2015, HCP disclosed that the U.S. Department of Justice (“DOJ”) had intervened in the whistleblower lawsuits regarding the billing practices of ManorCare’s. Then, on May 5, 2015, HCP disclosed that it had recorded a non-cash impairment charge of $478 million related to certain of its lease arrangements with ManorCare. Further, on November 3, 2015, the Company added a subsequent $27 million impairment charge related to its equity interest in ManorCare.
Finally, on February 9, 2016, HCP announced that its equity stake in ManorCare had been written down to zero, recording a further $836 million non-cash impairment on its ManorCare lease assets. The Company also revealed skyrocketing legal costs incurred by ManorCare in defending against the whistleblower and DOJ lawsuits and that the Company could no longer rely on ManorCare to pay its rent.
On this news, HCP’s share price fell from a closing price of $33.99 per share on February 8, 2016 to a closing price of $28.33 on February 9, 2016—a $5.66 or a 16.7% drop.
If you invested in HCP stock between March 30, 2015 and February 8, 2016 and would like to discuss your legal rights, please fill out the form below. You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to email@example.com. Faruqi & Faruqi, LLP also encourages anyone with information regarding HCP’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
Please tell us about yourself by completing the form and we will provide you with additional
information on how to join the Class Action at no cost to you.
* The submission of this form does not create an attorney-client relationship.
Richard W. Gonnello
Faruqi & Faruqi, LLP
685 Third Avenue 26th Floor
New York, NY 10017
Tel: (212) 983-9330
If you have information regarding this case that you would like to make available, please click here to contact us about our investigation.