October 19, 2020 - A consolidated complaint was filed.

April 29, 2020 - An investor in shares of SCWorx Corp. (NASDAQ: WORX) filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by SCWorx Corp. in connection with certain allegedly false and misleading statements made between April 13, 2020 and April 17, 2020.

New York based SCWorx Corp. provides software solutions for the management of health care providers' foundational business applications.

On April 13, 2020, SCWorx Corp announced that it had received a committed purchase order of two million COVID-19 rapid testing kits, with provision for additional weekly orders of 2 million units for 23 weeks, valued at $35M per week.

Shares of SCWorx Corp. (NASDAQ: WORX) rose on April 13, 2020 to as high as $14.88 per share.

On April 17, 2020, a report was issued doubting the validity of the deal, calling it completely bogus. The report alleged that the COVID-19 test supplier that SCWorx is buying from, Promedical, has a Chief Executive Officer who formerly ran another business accused of defrauding its investors and customers and was also alleged to have falsified his medical credentials. According to the report, Promedical claimed to the FDA and regulators in Australia to be offering COVID-19 test kits manufactured by Wondfo, but Wondfo disavowed any relationship and the buyer that SCWorx claimed to have lined up does not appear to be capable of handling hundreds of millions of dollars in orders.

Shares of SCWorx Corp. (NASDAQ: WORX) declined on April 20, 2020 to as low as $5.55 per share.

According to the complaint the plaintiff alleges on behalf of purchasers of SCWorx Corp. (NASDAQ: WORX) common shares between April 13, 2020 and April 17, 2020, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between April 13, 2020 and April 17, 2020, the Defendants failed to disclose to investors that SCWorx’s supplier for COVID-19 tests had previously misrepresented its operations, that SCWorx’s buyer was a small company that was unlikely to adequately support the purported volume of orders for COVID-19 tests, that, as a result, the Company’s purchase order for COVID-19 tests had been overstated or entirely fabricated, and that, as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.