Faruqi & Faruqi, LLP Investigates Paragon 28, Inc. for Potential Securities Fraud
Faruqi & Faruqi, LLP, a leading national securities law firm, is actively investigating potential claims against Paragon 28, Inc. The investigation centers around allegations that the company and its executives engaged in securities fraud by making false and misleading statements, and/or failing to disclose crucial information to investors.
The firm is specifically interested in speaking with investors who suffered losses exceeding $75,000 in Paragon 28 between May 5, 2023, and August 8, 2024. If you fall into this category and wish to explore your legal options, you are encouraged to contact Faruqi & Faruqi partner Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). You can also find additional information on their website: [Link to Faruqi & Faruqi website].
The Allegations
The complaint filed against Paragon 28 alleges that the company and its executives violated federal securities laws by:
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Misrepresenting Paragon 28’s financial statements:
The complaint claims that the company’s financial statements were inaccurate and misleading.*
Failing to disclose issues with internal controls:
Allegations suggest that Paragon 28 lacked adequate internal controls and understated the extent of problems with these controls.*
Making false statements about business operations and prospects:
The complaint states that the company’s statements about its business, operations, and future prospects were not grounded in reality and were materially false and misleading.Key Events Leading to the Investigation
The investigation stems from specific events that led to significant stock price drops:
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July 30, 2024:
Paragon 28 filed a Form 8-K with the Securities and Exchange Commission (SEC) disclosing errors in its previously issued financial statements for the fiscal year ended December 31, 2023. This news caused the company’s stock price to fall by 13.7%.*
August 8, 2024:
Paragon 28 issued a press release announcing revised full-year revenue guidance, a reduction in workforce, and other cost-cutting measures. The company’s stock price dropped by 20.1% on this news.Lead Plaintiff Deadline
Investors who purchased Paragon 28 securities between May 5, 2023, and August 8, 2024, are eligible to participate in the potential class action. The deadline to seek the role of lead plaintiff is November 29, 2024. The lead plaintiff is the investor with the largest financial interest in the case and will represent the interests of the entire class.
Contact Faruqi & Faruqi
If you have information about Paragon 28’s conduct, including as a whistleblower, former employee, shareholder, or other interested party, Faruqi & Faruqi encourages you to contact them. You can learn more about the class action at www.faruqilaw.com/FNA, or call Josh Wilson directly at 877-247-4292 or 212-983-9330 (Ext. 1310). You can also follow Faruqi & Faruqi for updates on LinkedIn, X (formerly Twitter), or Facebook.
