ADMA Biologics Faces Securities Class Action Lawsuit Over Alleged Undisclosed Related-Party Transactions and Channel Stuffing
核心洞察
Kahn Swick & Foti, LLC (搜索) has filed a class action securities lawsuit against ADMA Biologics on behalf of investors who purchased shares between August 9, 2024 and March 25, 2026.
The complaint alleges the company failed to disclose a related-party transaction, engaged in channel stuffing to inflate revenue, and lacked adequate internal controls.
The case, Mazzarino v. ADMA Biologics, Inc., is pending in the U.S. District Court for the District of New Jersey under docket number 26-cv-04793.
Kahn Swick & Foti, LLC (搜索) (KSF), a nationally recognized securities litigation firm, has notified investors that a class action lawsuit has been filed against ADMA Biologics, Inc. (NasdaqGM: ADMA), alleging violations of federal securities laws during a defined class period spanning August 9, 2024 through March 25, 2026. The action is currently pending in the United States District Court for the District of New Jersey.
The lawsuit, captioned Mazzarino v. ADMA Biologics, Inc., et al. (No. 26-cv-04793), seeks to recover financial losses on behalf of investors who purchased ADMA Biologics securities during the class period and were adversely affected.
Allegations of Misconduct
According to the complaint, ADMA Biologics and certain of its executives are charged with failing to disclose material information in the company's offering documents. The alleged false and misleading statements and omissions include, but are not limited to, four key areas of concern:
First, the company is alleged to have engaged in an undisclosed related-party transaction. Second, the complaint asserts that ADMA used channel stuffing — a practice in which a company inflates its sales figures by sending more products to distribution channels than they can sell — to create an appearance of revenue. Third, the company is alleged to have lacked adequate internal controls. Fourth, as a result of these issues, the defendants' statements about the company's business, operations, and prospects were allegedly materially false and misleading and lacked a reasonable basis at all relevant times.
When the true details entered the market, the lawsuit claims that investors suffered damages.
Lead Plaintiff Deadline
KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., has announced that investors who purchased ADMA Biologics securities during the class period and suffered a loss have until August 10, 2026 to request that the Court appoint them as lead plaintiff. Importantly, an investor's ability to share in any potential recovery does not require serving as lead plaintiff.
Affected ADMA investors may contact KSF Managing Partner Lewis Kahn toll-free at 1-877-515-1850, via email at lewis.kahn@ksfcounsel.com, or through the firm's website for additional information.
About the Litigation Firm
KSF is ranked among the top 10 plaintiff law firms nationally based upon total settlement value, according to ISS Securities Class Action Services. The firm maintains offices in New York, Delaware, California, Louisiana, Chicago, and a representative office in Luxembourg, serving a variety of clients including public and private institutional investors as well as retail investors seeking recoveries for investment losses stemming from corporate fraud or malfeasance by publicly traded companies.