The Complaint brings forth claims for violations of the Securities Exchange Act of 1934. The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects.
Specifically, the Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company and its senior executives purposefully steered patients into unnecessary insurance plans in order to maximize profits; (2) the Company was using AKF as a vehicle to facilitate these improper practices; (3) as a result, DaVita’s revenues and profits were illegally obtained; (4) in turn, DaVita lacked effective internal controls over financial reporting; and (5) as a result of the foregoing, Defendants’ statements about DaVita’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis.
On November 6, 2017, the Court appointed the Peace Officers' Annuity and Benefit Fund of Georgia and the Jacksonville Police and Fire Pension Fund as Lead Plaintiff. On November 13, 2017, a briefing schedule for the forthcoming amended complaint and Defendants’ anticipated motion(s) to dismiss was entered by the Court.
On January 12, 2018, Lead Plaintiffs filed their Amended Complaint. Lead Plaintiffs' opposition to Defendants' motion is due June 6, 2018. Defendants' reply to the opposition is due on July 20, 2018.