Liberty Health Sciences Inc. (LHSIF) Accused of Scheming to Benefit Its Insiders at Shareholders' Expense

According to the complaint against the company for alleged violations of the Securities and Exchange Act of 1934 between June 28, 2018 and December 3, 2018, Liberty Health Sciences Inc. (LHSIF) engaged in a scheme with cannabis distributor Aphria Inc. by making fraudulent acquisitions to provide undue benefits to both companies' insiders. The illicit dealings came to light on December 3, 2018, when a research report claimed that Aphria was "part of a scheme orchestrated by a network of insiders to divert funds away from shareholders into their own pockets." The article further detailed an investigation into Aphria's latest poor quality investments, including an abandoned building on dilapidated property in Jamaica. On this news, Liberty's stock fell nearly 34% on December 4, 2018. Then, on December 6, 2018, when another article revealed that Liberty officials ran multiple pump and dump schemes, Liberty's stock fell 7% further, closing at $0.66 per share on December 7, 2018.

Liberty Health Sciences Inc. (LHSIF) Shareholders Have Legal Options

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