SAN DIEGO, May 15, 2024 (GLOBE NEWSWIRE) -- Robbins LLP informs investors that a shareholder filed a class action on behalf of persons and entities that purchased or otherwise acquired UnitedHealth Group Inc. (NYSE: UNH) common stock between March 14, 2022 and February 27, 2024. UnitedHealth is a health care and well-being company comprised of two distinct and complementary businesses: Optum and UnitedHealthcare.
For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.
The Allegations: Robbins LLP is Investigating Allegations that UnitedHealth Group, Inc. (UNH) Failed to Disclose DOJ Investigation
According to the complaint, on January 6, 2021, UnitedHealth announced an agreement to acquire Change Healthcare (“Change”) and integrate it into its existing Optum business. In response, on February 24, 2022, the U.S. Department of Justice (“DOJ”) filed a lawsuit challenging UnitedHealth’s acquisition of Change. The DOJ alleged that the proposed acquisition would violate antitrust laws because the integration of Change and Optum would give UnitedHealth unparalleled access to information regarding nearly every health insurer, as well as health data on every single American. UnitedHealth assured the DOJ, investors, and customers that Optum would “maintain robust firewall processes” to prevent CSI from being shared between Optum and UnitedHealthcare.
The court in the antitrust action ultimately permitted the acquisition, repeatedly crediting UnitedHealth’s firewall policy and commitment to preventing the sharing of data between UnitedHealthcare and Optum as the rationale for allowing the deal to proceed.
Plaintiff alleges that on February 27, 2024, the Wall Street Journal reported that the DOJ had re-opened its antitrust investigation into UnitedHealth. In that article, the public learned for the first time that the DOJ was investigating the relationships between the Company’s various segments, including Optum. As a result of these disclosures, the price of UnitedHealth stock declined by $27 per share, wiping out nearly $25 billion in shareholder value.
The complaint alleges that UnitedHealth was aware of the DOJ investigation since at least October 2023. Instead of disclosing this material investigation to investors or the public, UnitedHealth insiders sold more than $120 million of their personally held UnitedHealth shares.
What Now: You may be eligible to participate in the class action against UnitedHealth Group Inc. Shareholders who want to serve as lead plaintiff for the class must file their motions with the court by July 15, 2024. A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. You do not have to participate in the case to be eligible for a recovery. If you choose to take no action, you can remain an absent class member. For more information, click here.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
About Robbins LLP: Some law firms issuing releases about this matter do not actually litigate securities class actions; Robbins LLP does. A recognized leader in shareholder rights litigation, the attorneys and staff of Robbins LLP have been dedicated to helping shareholders recover losses, improve corporate governance structures, and hold company executives accountable for their wrongdoing since 2002. Since our inception, we have obtained over $1 billion for shareholders.
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| Contact: Aaron Dumas, Jr. Robbins LLP 5060 Shoreham Pl., Ste. 300 San Diego, CA 92122 adumas@robbinsllp.com (800) 350-6003 www.robbinsllp.com | https://www.facebook.com/RobbinsLLP/ https://www.linkedin.com/company/robbins-llp/ |
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