Grabar Law Office Investigates Claims on Behalf of Shareholders of DocGo Inc. (DCGO)

Philadelphia, Pennsylvania--(Newsfile Corp. - January 24, 2024) - In spring 2023, New York City's Mayor announced a new policy calling for the city to relocate migrants outside of New York City's five boroughs. To oversee the relocation program, New York City awarded DocGo a no-bid $432 million contract (the "Relocation Contract") that took effect in early May 2023. The contract required DocGo to house migrants and provide them with services including case management, medical care, food, transportation, lodging, and round-the-clock security.

On September 18, 2023, New York City's Comptroller announced that his office was commencing a real-time audit of operations and invoices incurred by DocGo Inc. (NASDAQ: DCGO) in connection with the Relocation Contract. Specifically, the Comptroller noted that his office had "serious concerns about the selection of this vendor and its performance of contract duties" under a $432 million contract the City had with DocGo.

A securities fraud class action complaint then followed that alleges that DocGo, through certain of its officers and directors, made materially false and misleading statements regarding the Company's business, operations, and compliance policies. Specifically, the securities fraud complaint alleges Defendants made false and/or misleading statements and/or failed to disclose that: (i) DocGo's executive hiring processes were inadequate to fully review and vet the professional and academic backgrounds of job candidates; (ii) the foregoing increased the likelihood of disruptive executive turnover; (iii) contrary to its representations to investors, DocGo had overstated the efficacy of its mobile health and medical transportation services, the very services contemplated by the Relocation Contract; (iv) all of the foregoing, once revealed, was likely to subject DocGo to significant reputational and/or regulatory scrutiny that would negatively impact the Company's financial position and/or prospects; and (v) as a result, the Company's public statements were materially false and misleading at all relevant times.

Current DocGo shareholders who have held DocGo shares since on or before November 8, 2022, can seek corporate reforms, the return of funds back to the company, and a court approved incentive award at no cost to them whatsoever.

If you would like to learn more about this matter, you are encouraged visit https://grabarlaw.com/the-latest/docgo-shareholder-investigation/, email Joshua Grabar at jgrabar@grabarlaw.com or Mia Heller at mheller@grabarlaw.com, or call us at 267-507-6085. $DCGO #DocGo

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Contact:
Joshua H. Grabar, Esq.
Grabar Law Office
One Liberty Place
1650 Market Street, Suite 3600
Philadelphia, PA 19103
Tel: 267-507-6085
Email: jgrabar@grabarlaw.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/195571