Nursing Home Operator Must Defend Investor Claims in New York

PACS Group Inc. failed to convince a federal judge in New York to move an investor lawsuit alleging the nursing home operator submitted false Medicare claims ahead of its 2024 initial public offering to its headquarters state of Utah.

The “only factor even somewhat supporting transfer” to the US District Court for the District of Utah is where the alleged misrepresentations came from, said Judge Lewis J. Liman of the US District Court for the Southern District of New York, denying PACS’ request to transfer the proposed class action.

The court named New York-based 1199SEIU Health Care Employees Pension ...