NEW YORK, January 15, 2021 / PRNewswire / – Pomerantz LLP announces that a class action lawsuit has been filed against Decision Diagnostics Corporation (“Decision Diagnostics” or the “Company”) (OTCMKTS: DECN) and certain of its officers. The class action, filed in United States District Court of the Central District of California, and listed under 21-cv-00418, is in the name of a class made up of all persons and entities other than defendants who have purchased or otherwise acquired securities of Decision Diagnostics between March 3, 2020 and December 17, 2020, both dates inclusive (the “Recourse Period”), seeking to recover damages caused by defendants’ breaches of federal securities laws and to bring remedies under Articles 10 (b) and 20 (a ) of the Securities Exchange Act of 1934 (the “Exchange Act”) and rules 10b-5 promulgated hereunder, against the Company and certain of its senior officials.
If you are a shareholder who purchased Decision Diagnostics securities during the Class Period, you have until March 16, 2021 to ask the Court to appoint you as the principal plaintiff of the class. A copy of the complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll free, Ext. 7980. Those inquiring by email are encouraged to include their mailing address, phone number, and number of shares purchased.
[Click here for information about joining the class action]
Decision Diagnostics offers, among other products and services, prescription and non-prescription diagnostics and home testing products.
Of March 2020 at least June 2020The defendants claimed the company had developed a finger-prick blood test capable of detecting COVID-19 in less than a minute. The defendants also made various representations regarding the company’s progress towards obtaining Emergency Use Clearance (“EUA”) from the US Food and Drug Administration (“FDA”) for this alleged COVID blood test. -19 per finger prick.
The complaint alleges that throughout the class action period, the defendants made materially false and misleading statements and did not disclose material adverse facts regarding the company’s business, operational and compliance policies. Specifically, the defendants made false and / or misleading statements and did not disclose to investors that: (i) Decision Diagnostics had not developed any viable COVID-19 test, let alone one capable of detecting COVID- 19 in less than a minute; (ii) the Company was unable to meet the FDA’s EUA testing requirements for its alleged COVID-19 test; (iii) as a result, the defendants had distorted the timeframe within which they could realistically market its COVID-19 test; (iv) all of the foregoing has subjected defendants to increased risk of regulatory and enforcement oversight; and (v) therefore, the defendants’ public statements were materially false and misleading at all material times.
Sure December 17, 2020, the SEC filed a lawsuit in federal court against the defendants, alleging that they issued a series of press releases falsely claiming that Decision Diagnostics had developed a finger-prick blood test capable of detecting COVID-19 by less than a minute (the “SEC Claim”). According to the SEC complaint, March 2020 at least June 2020, The defendants have made false and misleading claims about the existence of the COVID-19 device from Decision Diagnostics and about the progress made towards obtaining the EUA FDA for this device. As alleged, at the time of these allegations, Decision Diagnostics did not have a proven method to detect the virus and did not have any physical testing facilities. The SEC complaint further alleges that the statements created the misleading impression that Decision Diagnostics would soon introduce the COVID-19 test to the market, leading to spikes in the price and trading volume of the company’s shares. .
Following SEC Complaint, Decision Diagnostics Common Stock Price Dips $ 0.06 per share, i.e. 60%, to close at $ 0.04 per share on December 18, 2020.
The Pomerantz firm, with offices in New York, Chicago, Los Angeles, and Paris is recognized as one of the leading firms in the areas of corporate, securities and antitrust litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz law firm was the pioneer of class actions in securities. Today, more than 80 years later, Pomerantz continues the tradition it established, fighting for the rights of victims of securities fraud, breach of fiduciary duty and professional misconduct. The firm has recovered numerous indemnities of several millions of dollars on behalf of the members of the group. See www.pomerantzlaw.com
CONTACT:
Robert S. Willoughby
Pomerantz LLP
[email protected]
888-476-6529 ext. 7980
SOURCE Pomerantz LLP
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