The litigation centers on claims that ADMA Biologics utilized an undisclosed distributor, Genesis BioPharma Services, to inflate revenue figures between August 9, 2024, and March 25, 2026. According to the complaint, this entity operated directly out of the company’s Ramsey, New Jersey headquarters, yet its relationship with the firm remained hidden from shareholders. While SEC filings acknowledged purchases from a similarly named vendor, GenesisBPS, they allegedly omitted sales to the distributor controlled by Grossman.
ADMA Biologics Faces Securities Lawsuit Over Undisclosed Transactions
Investors have until August 10, 2026, to file as lead plaintiffs in a securities class action against ADMA Biologics, Inc. The lawsuit alleges that company executives, including co-founder and Vice Chairman Jerrold V. Grossman, knowingly signed false annual reports that concealed improper related-party transactions and channel stuffing.
Legal counsel Joseph E. Levi asserts that officers bear personal responsibility for the accuracy of certified corporate disclosures. Under Section 20(a) of the Securities Exchange Act of 1934, the suit names Jerrold V. Grossman as a controlling person, arguing he possessed direct knowledge of the dual-entity structure and the influence to shape the misleading statements found in multiple SEC filings. The class action also targets CEO Adam S. Grossman and former CFO Brad Tade, who certified the financial disclosures in question.
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