OAK STREET HEALTH, INC. SHAREHOLDERS HAVE AN OPPORTUNITY TO RECOVER THEIR INVESTMENT LOSSES
OAK STREET HEALTH, INC.
Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of those who purchased or acquired the securities of Oak Street Health, Inc. (NYSE: OSH) between August 6 2020, and November 8, 2021. The lawsuit seeks to recover Oak Street Health, Inc. shareholders’ investment losses.
If you purchased shares of Oak Street Health, Inc. between August 6 2020, and November 8, 2021 and would like to discuss your legal rights and/or options, please click “Join Class Action” above.
New York, New York — Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of investors who purchased or acquired Oak Street Health, Inc. (“Oak Street” or the “Company”) (NYSE: OSH) securities between August 6, 2020, and November 8, 2021, inclusive (the “Class Period”). The lawsuit was filed in the United States District Court for the Northern District of Illinois and alleges violations of the Securities Act of 1934.
Oak Street purportedly operates primary care centers within the United States. Oak Street claims that it “engages Medicare eligible patients through the use of an innovative community outreach approach.” The Company claims it contracts with health plans to generate medical costs savings and realize a return on its investment in primary care. As of December 31, 2020, Oak Street claims to have operated 79 centers in 16 markets across 11 states, which provided care for approximately 97,000 patients.
According to the complaint, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Oak Street maintained relationships with third-party marketing agents likely to provoke law enforcement scrutiny; (2) Oak Street was providing free transportation to federal health care beneficiaries in a manner that would provoke law enforcement scrutiny; (3) these activities may be violations of the False Claims Act; (4) Oak Street was at heightened risk of investigation by the DOJ and/or other federal law enforcement agencies; and (5) Oak Street was subject to adverse impacts related to defense and settlement costs and diversion of management resources.
On November 8, 2021, Oak Street filed its third quarter quarterly report with the SEC on Form 10-Q for the quarter ended September 30, 2021. Therein, the Company, in relevant part, disclosed that on November 1, 2021 the Company received a civil investigative demand (“CID”) from the DOJ. According to the CID, the DOJ was investigating whether the Company violated the False Claims Act. The CID also requested documents and information related to Oak Street’s relationships with “third-party marketing agents” and Oak Street’s “provision of free transportation to federal health care beneficiaries.” When this information reached the market, the Company’s share price fell $9.75, or more than 20%, to close at $37.14 per share on November 9, 2021, on unusually heavy trading volume.
If you wish to serve as lead plaintiff, you must move the Court no later than March 14, 2022. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal’s “Plaintiffs’ Hot List” thirteen times and listed in The Legal 500 for ten consecutive years.
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