Syneos Health Investors Advance Claims of Inflated Backlog (1)

Syneos Health Inc. and four former executives must contend with investor allegations the biopharmaceutical solutions company misrepresented its backlog methodology and inflated its calculations in financial reports.

Investment funds leading the case sufficiently alleged the level of intent or recklessness by leaders to defraud shareholders, Judge Arun Subramanian said Tuesday, letting proposed class claims proceed on these backlog statements. The funds alleged executives sold “the lion’s share” of their stock during the proposed class period, and that “they did so in quantities that far exceeded their previous trading to reap profits that far exceeded their annual salaries,” supporting an inference ...