PR Newswire | Oct 29, 2020 08:02AM EDT

Management be Held Accountable for Investors Losses? Contact Johnson Fistel

10/29 07:01 CDT

Did You Acquire Healthcare Services (HCSG) Before April 11, 2017? Should Management be Held Accountable for Investors Losses? Contact Johnson Fistel SAN DIEGO, Oct. 29, 2020

SAN DIEGO, Oct. 29, 2020 /PRNewswire/ -- Johnson Fistel, LLP is investigating potential claims on behalf of Healthcare Services Group, Inc. (NASDAQ: HCSG) ("Healthcare Services") against certain of its officers and directors.

Specifically, a class action lawsuit was filed in federal court last year against the Company on behalf of purchasers of the securities of Healthcare Services between April 11, 2017 through March 4, 2019 (the "Class Period"). According to the lawsuit, defendants throughout the Class Period made false and misleading statements and failed to disclose that: (1) Healthcare Services' CEO either knew or was reckless in not knowing that Healthcare Services had been accused of strategically rounding quarterly earnings per share, and therefore investors could not rely upon the Company's track record without a thorough investigation into the allegations; (2) defendants concealed that the SEC had written to Healthcare Services in November 2017 to inquire into the Company's earnings per share rounding practices; and (3) Healthcare Services concealed that the SEC delivered a subpoena to the Company in March 2018 demanding the production of documents in connection with how Healthcare Services calculated earnings per share. When the true details entered the market, the lawsuit claims that investors suffered damages.

If you are a long-term shareholder ofHealthcare Services continuously holding shares before April 11, 2017, you may have standing to hold Healthcare Services harmless from the alleged harm caused by the officers and directors of the Company by making them personally responsible. You may also be able to assist in reforming the Company's corporate governance to prevent future wrongdoing.

If you are interested in learning more about the investigation, please contact Jim Baker (jimb@johnsonfistel.com) at 619-814-4471. If you email, please include your phone number.

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About Johnson Fistel, LLP:Johnson Fistel, LLP is a nationally recognized shareholder rights law firm with offices in California, New York and Georgia. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits. For more information about the firm and its attorneys, please visit http://www.johnsonfistel.com. Attorney advertising. Past results do not guarantee future outcomes.

Contact:Johnson Fistel, LLPJim Baker, 619-814-4471 jimb@johnsonfistel.com

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SOURCE Johnson Fistel, LLP