NEW YORK, NY / ACCESSWIRE / February 4, 2016 / Pomerantz LLP is investigating claims on behalf of investors of Insys Therapeutics, Inc. ("Insys" or the "Company") INSY. Such investors are advised to contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888-476-6529, ext. 9980.
The investigation concerns whether Insys and certain of its officers and/or directors have violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
On April 24, 2015, post-market, the Southern Investigating Reporting Foundation (SIRF) published an article entitled "Insys Therapeutics and the New 'Killing It,'" reporting on patients who either died or suffered adverse events while being treated with the company's Subsys drug, and detailing the company's aggressive marketing of the drug.
On this news, Insys stock fell $6.00, or nearly 10%, to close at $56.42 on April 27, 2015.
Then, on May 20, 2015, Seeking Alpha published an article entitled "Top Prescribers of Insys Therapeutics' Subsys Arrested on Drug Charges," reporting that two of Insys's highest-volume prescribers had been charged with illegal prescription drug distribution by the Drug Enforcement Agency.
On this news, Insys stock fell $2.65, or more than 4%, to close at $57.12 on May 20, 2015.
On June 25, 2015, The New York Times reported that a nurse in Connecticut pled guilty to participating in a kickback scheme wherein she accepted approximately $83,000 in kickbacks from Insys in exchange for writing more than $1 million worth of Subsys prescriptions.
On this news, Insys stock fell $3.00, or nearly 8%, to close at $35.74 on June 25, 2015.
On December 3, 2015, SIRF published an article entitled "Murder Incorporated: Insys Therapeutics, Part I," alleging that the company's President and Chief Executive Officer Michael L. Babich had been forced to resign from the company and that the company operated a scheme to promote the illegal and improper off-label marketing and sale of Subsys.
On this news, Insys stock fell $5.93, or nearly 19%, to close at $26.06 on December 3, 2015.
On January 25, 2016, SIRF published an article entitled "The Brotherhood of Thieves: Insys Therapeutics," alleging that Insys's executives have continued to pressure company employees to develop new schemes to promote the illegal and improper off-label marketing and sale of Subsys.
On this news, Insys stock fell $1.07, or nearly 5%, to close at $21.58 on January 25, 2016.
The Pomerantz Firm, with offices in New York, Chicago, Los Angeles, and Florida, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 70 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com.
SOURCE: Pomerantz LLP
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