Shareholder lawsuit filed against Paragon 28, Inc. on Oct 24, 2024
- A class action lawsuit has been filed against Paragon 28, Inc. on behalf of shareholders who acquired securities between May 5, 2023, and August 8, 2024.
- The lawsuit claims that the company made false statements regarding its financial health and internal controls.
- Investors are encouraged to act before the November 29, 2024, deadline to potentially recover losses.
On October 24, 2024, Johnson Fistel, LLP announced the filing of a class action lawsuit against Paragon 28, Inc., aimed at protecting investors who acquired shares during the defined Class Period from May 5, 2023, to August 8, 2024. This legal action arises from allegations that the company provided materially false and misleading information about its financial condition and operations, which ultimately harmed shareholders when the truth surfaced. The lawsuit specifically points to significant deficiencies in Paragon 28’s financial statements and its internal controls. Claims suggest that the company understated the issues related to these internal controls, leading to a lack of transparency about its true business conditions. Such misrepresentation is believed to have resulted in financial losses for investors who relied on the company’s disclosed information. As part of the legal process, affected shareholders have until November 29, 2024, to request to become lead plaintiffs in the action. This role allows them to guide the litigation on behalf of all class members and choose their preferred legal representation. It is important for investors to understand that their eligibility to receive any potential recovery from the lawsuit does not depend on being designated as the lead plaintiff. Johnson Fistel, LLP is a well-regarded law firm with a focus on securities fraud, providing support to both individual and institutional investors in legal matters related to shareholder rights. The firm is encouraging all impacted investors to take action promptly to safeguard their interests.