LOS ANGELES, Oct. 22, 2004 (PRIMEZONE) -- Glancy Binkow & Goldberg LLP -- representing shareholders of Staar Surgical Company -- announces 10 days remaining to move to be a lead plaintiff in the shareholder lawsuit. All persons and institutions who purchased securities of STAAR Surgical Company. ("Staar Surgical" or the "Company")(Nasdaq:STAA) between April 3, 2003 and September 28, 2004, inclusive (the "Class Period"), may move the Court not later than November 1, 2004, to serve as lead plaintiff, however, you must meet certain legal requirements.
If you wish to receive a copy of the Complaint, or have any questions concerning your rights or interests with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at (310) 201-9150, Toll Free at (888) 773-9224, or e-mail to info@glancylaw.com, or visit our website at www.glancylaw.com.
The Complaint charges Staar Surgical and certain of the Company's executive officers with violations of federal securities laws. Among other things, plaintiff claims that defendants' dissemination of materially false and misleading statements concerning Staar Surgical's operations and prospects caused the Company's stock price to become artificially inflated, inflicting damages on investors. Staar Surgical develops, manufactures and distributes products, including implantable lenses, used by ophthalmologists and other eye care professionals to improve or correct vision in patients with cataracts, refractive conditions and glaucoma. The Complaint alleges that defendants knew or recklessly disregarded that their public statements concerning Staar Surgical's implantable lenses ("ICLs") were materially false and misleading because they failed to disclose significant problems with the manufacture of these devices. These significant problems included, but were not limited to: (i) methods, facilities and/or controls used for the manufacture, packing and storage of the ICLs that were not in conformance with Current Good Manufacturing Practice ("CGMP"); and (ii) failure to establish and maintain procedures to assure that valid methods were used to test the raw materials and finished ICL devices. Significantly, these serious problems jeopardized Staar Surgical's ability to gain FDA approval for U.S. marketing of its ICLs -- anticipated to be the "dominant revenue generators for the Company over the next four to five years." Plaintiff further alleges that defendants knew but failed to adequately report to the Federal Food & Drug Administration the existence of serious injuries and/or malfunctions attributable to Staar Surgical's IOL/ICL which were likely to cause or contribute to serious injuries, despite defendants' knowledge of these malfunctions and injuries. None of these serious problems, however, were timely disclosed to investors.
On or about September 4, 2003, following on-site inspection of Staar Surgical's manufacturing facility, FDA inspectors issued a "Notice of Observations" form, noting significant problems with the manufacture of the Company's ICLs and violations of CGMP, and discussed the violations with Staar Surgical personnel. Defendants, however, failed to disclose these problems to investors until four months later. On January 6, 2004, the FDA website posted a warning letter to Staar Surgical concerning serious violations of manufacturing standards and the failure of the Company to adequately report to the FDA the existence of adverse events associated with the Company's IOL/ICL. This news sent the price of Starr Surgical shares plummeting, to close almost 18% below the previous day -- one day before the disclosure of the FDA's warning letter.
On September 28, 2004, Staar Surgical filed a Form 8-K with the Securities and Exchange Commission revealing that the issues raised by the FDA were far worse than previously disclosed, and that the FDA could take corrective action. The impact on Staar Surgical stock was sharply negative, with the share price plummeting the next day more than 38% in one day, following the disclosures in Staar Surgical's SEC filing.
Plaintiff seeks to recover damages on behalf of Class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting shareholder lawsuits, and substantial expertise in actions involving corporate fraud.