Law firms probe Alignment Healthcare after July 8 whistleblower lawsuit

Block & Leviton, Johnson Fistel, Hagens Berman, the Law Offices of Frank R. Cruz and Glancy Prongay Wolke & Rotter LLP are investigating Alignment Healthcare, Inc. after a July 8, 2026 report that a former executive filed a whistleblower lawsuit alleging the company manipulated its finances to boost its stock price and executive compensation. Hagens Berman said the whistleblower, Hakan Kardes, who worked at Alignment from 2019 to 2025 and most recently served as chief transformation officer, alleged the company misclassified operating expenses as capital expenditures, inflating adjusted EBITDA for 2024 and 2025 and overstating key performance metrics. The Frank R. Cruz and Glancy Prongay Wolke & Rotter releases, citing Modern Healthcare, said the lawsuit specifically alleged Alignment deliberately classified routine operating costs such as software maintenance and production support as capital expenditures within its technology sector, helping it report its first full year of positive adjusted EBITDA as a public company. The allegations followed Alignment Healthcare's reported strong first-quarter 2026 results, including significant revenue growth, a swing to profitability and raised full-year guidance. The firms said they are examining potential federal securities law violations and invited investors who purchased Alignment Healthcare securities and suffered losses to contact them. Alignment shares fell $4.02, or 16.7%, to close at $20.03 on July 8, 2026, after the whistleblower claims emerged. Several firms also sought non-public information through the SEC whistleblower program, which they said can award up to 30% of a successful SEC recovery.