The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of DocGo Inc. (DCGO) Investors

The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired DocGo Inc. (“DocGo” or the “Company”) (NASDAQ: DCGO) securities between November 8, 2022 and September 17, 2023, inclusive (the “Class Period”). DocGo investors have until December 26, 2023 to file a lead plaintiff motion.

If you are a shareholder who suffered a loss, click here to participate.

On July 30, 2023, the New York Times reported that DocGo’s migrant relocation efforts in New York City had a “rocky” start, with asylum-seekers claiming threats and “broken promises” after DocGo had been awarded a $432 million Relocation Contract by the City. The article stated that “[l]ocal authorities have expressed frustration at the lack of coordination between DocGo and agencies that could provide services to the migrants; local security guards hired by DocGo have repeatedly threatened the migrants; and finding steady work has been nearly impossible[.]” On this news, DocGo’s stock price fell $0.53, or 6.3%, to close at $7.89 per share on July 31, 2023, thereby injuring investors.

Then, on August 22, 2023, the Albany Times Union reported that the New York Attorney General had opened an investigation into DocGo and had cautioned the Company to cease limiting migrants’ speech or movements, and had “serious concerns” regarding potential violations of state and federal laws in the Company’s handling of the Relocation Contract.

Then, on September 6, 2023, New York City Comptroller Brad Lander announced that his office was declining to approve the Relocation Contract “due to numerous outstanding concerns” including “[i]nsufficient budget detail to justify over $432 million in contract value,” “[i]nconclusive reasoning as to the selection of the vendor and contradictory statements about their fiscal ability to provide contracted services,” “[i]nadequate vendor responsibility determination, contract oversight and subsequent questions about proper service delivery,” and “[i]nadequate information regarding the selection of subcontractors.” On this news, DocGo’s stock price fell $0.61, or 7.5%, to close at $7.55 per share on September 6, 2023.

On September 14, 2023, the Albany Times Union published an article stating that DocGo’s CEO, Anthony Capone, has falsified portions of his professional biography, specifically his educational history. The following day, September 15, 2023, DocGo disclosed Capone’s resignation. On this news, DocGo’s stock price fell $0.76, or 11.8%, to close at $5.70 per share on September 15, 2023.

Then, on September 18, 2023, Comptroller Lander announced that his office was commencing an audit of operations and invoices incurred by DocGo in connection with the Relocation Contract, noting “serious concerns about the selection of this vendor and its performance of contract duties.” On this news, DocGo’s stock price fell $0.41, or 7.2%, to close at $5.29 per share on September 18, 2023, thereby injuring investors further.

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) DocGo’s executive hiring processes were inadequate to fully review and vet the professional and academic backgrounds of job candidates; (2) the foregoing increased the likelihood of disruptive executive turnover; (3) 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; (4) 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 (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

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If you purchased DocGo securities during the Class Period, you may move the Court no later than December 26, 2023 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased DocGo securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Los Angeles, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

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The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of DocGo Inc. (DCGO) Investors