Top leadership at CareDx Inc. is accused of causing the medical testing company’s market capitalization, reputation, and goodwill to suffer by concealing “improper and illegal schemes” to increase revenue.
The company’s misconduct was revealed in stages, shareholder Jeffrey Edelman says in a derivative lawsuit filed Wednesday in the US District Court for the Northern District of California. The revelations caused stock price drops of 33%, 14%, and 29% between October 2021 and May 2022, he alleges.
CareDx provides testing, products, and software for organ transplant patients and care providers, according to the complaint.
The individual directors and officers named as ...