Algorithms powering John Ruiz’s company being probed by SEC, Justice Department

When attorney John H. Ruiz took his company public in 2022, the Miami entrepreneur promised that its software algorithms were so effective they could spot billions of dollars in improperly paid health-insurance claims that would eventually yield significant profits for investors.

Now, those problem-solving algorithms — the core of his Coral Gables-based company, LifeWallet — are being investigated by federal authorities, according to the firm’s recent filings with the U.S. Securities and Exchange Commission.

Cordell Eminent Scholar Jay Ritter shares his insights in this story from The Miami Herald. [Subscription required.]