Robbins Umeda LLP Announces an Investigation of Accretive Health, Inc.
April 30 2012 - 1:47PM
Business Wire
Shareholder rights firm Robbins Umeda LLP is investigating
possible breaches of fiduciary duty and other violations of the law
by certain officers and directors at Accretive Health, Inc. (NYSE:
AH). Concerned shareholders who would like more information about
their rights and potential remedies can contact attorney Gregory E.
Del Gaizo at (800) 350-6003, info@robbinsumeda.com, or via the
shareholder information form on the firm's website.
Robbins Umeda LLP is investigating whether officers and
directors at Accretive Health breached their fiduciary duties to
shareholders by causing the company to issue improper public
statements regarding Accretive Health's new Quality and Total Cost
of Care service initiative and failing to maintain adequate
internal oversight. In particular, Robbins Umeda is investigating
whether the company's fiduciaries failed to disclose that it was
violating health privacy laws, state debt collection laws, and
state consumer protection laws. On March 29, 2012, Accretive Health
announced that, in response to a lawsuit filed by Minnesota's
Attorney General, the company had agreed to no longer collect debts
on behalf of Fairview Health Services. On this news, Accretive
Health's stock dropped $4.46 per share to close at $19.60 on March
29, 2012, a one-day decline of nearly 19%.
Subsequently, on April 24, 2012, the Minnesota Attorney General
released a report which highlighted allegedly aggressive and
improper practices used by Accretive Health, including demanding
payment from patients seeking care in emergency rooms, cancer
wards, and delivery rooms. As a result of this news, Accretive
Health's stock fell another $7.63 per share to close at $10.86 per
share on April 25, 2012, a one-day decline of 41%. Since these
facts have emerged, Accretive Health has increasingly become the
focus of costly public and legal scrutiny that continues to
undermine the company's prospects and value for shareholders.
Robbins Umeda LLP highlights that Accretive Health shareholders
have the option to file a shareholder derivative action to hold
those officers and directors accountable for damaging the company.
Remedies commonly sought in derivative actions include corporate
governance reforms designed to prevent future misconduct, removal
of officers or directors whose misconduct injured the corporation,
and monetary payments in the form of damages and disgorgement of
ill-gotten gains.
Robbins Umeda LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion of value for themselves and
the companies in which they have invested. For more information,
please go to http://www.robbinsumeda.com.
Press release link:
http://www.robbinsumeda.com/shareholders-rights-blog/accretive-health-inc/
Attorney Advertising. Past results do not guarantee a similar
outcome.
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