Press release from Business Wire
Ryan & Maniskas, LLP Announces Class Action Lawsuit Against Questcor Pharmaceuticals, Inc. With Expanded Class Period
Thursday, October 18, 2012
WAYNE, Pa. (Business Wire) -- Ryan & Maniskas, LLP (www.rmclasslaw.com/cases/qcor) announces that a class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of purchasers of Questcor Pharmaceuticals, Inc. (“Questcor”) (NASDAQ: QCOR) common stock during the period between April 4, 2011 and September 21, 2012 (the “Class Period”).
For more information regarding this class action suit, please contact Ryan & Maniskas, LLP (Richard A. Maniskas, Esquire) toll-free at (877) 316-3218 or by email at firstname.lastname@example.org or visit: www.rmclasslaw.com/cases/qcor
The complaint charges Questcor and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Questcor is a biopharmaceutical company. The Company's primary product is H.P. Acthar Gel (Repository Corticotropin Injection) (“Acthar”), an injectable drug that is approved by the U. S. Food and Drug Administration (“FDA”) for the treatment of 19 conditions, including multiple scelorosis (“MS”), nephrotic syndrome and infantile spasms.
The complaint alleges that throughout the Class Period, defendants violated the federal securities laws by disseminating false and misleading statements to the investing public about the effectiveness of Acthar as a treatment for MS and nephrotic syndrome, making it impossible for shareholders to gain a meaningful or realistic understanding of the drug's prospects and market success. As a result of defendants' false statements, Questcor's stock traded at artificially inflated prices during the Class Period, reaching a high of $57.64 per share on July 9, 2012.
On September 19, 2012, Citron Research reported that Aetna Inc. (“Aetna”), one of the nation's largest insurers, had recently revised its policy concerning Acthar, which would severely limit coverage of Questcor's primary drug. Aetna had engaged in a review of the 19 indications for which the FDA had approved Acthar and determined that clinical research supported only one of the 19 indications. In Aetna's clinical policy bulletin issued in connection with its review, Aetna reported that studies suggested that the drug is only “medically necessary” for West syndrome, a rare condition that causes infantile spasms, and not for other indications, such as MS, that are treated with steroids. On this news, Questcor's stock plummeted $24.17 per share to close at $26.35 per share on September 19, 2012, a one-day decline of 48%. Then, on September 24, 2012, Questcor announced in a Form 8-K filed with the SEC that the U.S. government had initiated an investigation into the Company's promotional practices. After this news, Questcor's stock dropped $11.05 per share to close at $19.08 per share on September 24, 2012, a one-day decline of 37%.
If you are a member of the class, you may, no later than November 26, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Ryan & Maniskas, LLP or other counsel of your choice, to serve as your counsel in this action.
For more information about the case or to participate online, please visit: www.rmclasslaw.com/cases/qcor or contact Richard A. Maniskas, Esquire toll-free at (877) 316-3218, or by e-mail at email@example.com. For more information about class action cases in general or to learn more about Ryan & Maniskas, LLP, please visit our website: www.rmclasslaw.com.
Ryan & Maniskas, LLP is a national shareholder litigation firm. Ryan & Maniskas, LLP is devoted to protecting the interests of individual and institutional investors in shareholder actions in state and federal courts nationwide.
Ryan & Maniskas, LLP
Richard A. Maniskas, Esquire