OPKO Health, Inc. (Nasdaq: OPK)
A class action lawsuit has been filed in the United States District Court for the District of New Jersey on behalf of those who purchased shares of OPKO Health, Inc. (Nasdaq: OPK), between September 26, 2013 and September 7, 2018 (the "Class Period").
The complaint charges Lannett and certain of its officers with violations of the Securities Exchange Act of According to the complaint, OPKO is a healthcare company that engages in the diagnostics and pharmaceuticals business in the United States and internationally, including in Ireland, Chile, Spain, Israel, and Mexico.
The Class Period commences on September 26, 2013, when the article "Opko and Its Billionaire CEO Invested in Biozone" appeared on Seeking Alpha. The complaint alleges that the article, as part of a scheme to inflate the price of Biozone Pharmaceuticals ("Biozone"), touted Biozone by using OPKO and OPKO's Chief Executive Officer and Chairman Phillip Frost's ("Frost") ownership in Biozone, as Frost had a reputation as a successful biotech investor.
The complaint alleges that on September 7, 2018, the SEC issued a press release entitled "SEC Charges Microcap Fraudsters for Roles in Lucrative Market Manipulation Schemes," which included Frost and OPKO as defendants. The press release stated, in relevant part, "[a]ccording to the SEC's complaint, from 2013 to 2018, a group of prolific South Florida-based microcap fraudsters . . . manipulated the share price of the stock of three companies in classic pump-and-dump schemes. Miami biotech billionaire Phillip Frost allegedly participated in two of these three schemes." Following this news, shares of OPKO fell $1.01 or over 18%, before NASDAQ halted the trading of OPKO on September 7, 2018 at 2:34 p.m. EDT at $4.58. To date, trading in OPKO remains halted, making OPKO's stock illiquid and virtually worthless.
The complaint alleges that throughout the Class Period, the defendants made false and/or misleading statements and/or failed to disclose that: (1) defendant Frost and OPKO were engaged in a pump-and-dump scheme with several other individuals and companies in their investments in several penny stocks; (2) this illicit scheme would result in governmental scrutiny including from the SEC; and (3) as a result, the defendants' statements about OPKO's business, operations and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.
If you are a current shareholder and/or purchased stock between September 26, 2013 and September 7, 2018 and would like to discuss your options of exercising your rights as a shareholder, please contact us.
Please submit the following information so we can determine if you qualify for the suit. If you don't know all the specific details, partial information is also acceptable.
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