HARTFORD, Conn., March 20, 2006 (PRIMEZONE) -- The law firm of Schatz & Nobel, P.C., which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Northern District of Illinois on behalf of all persons who purchased or otherwise acquired the publicly traded securities of Northfield Laboratories ("Northfield" or the "Company") (Nasdaq:NFLD) between February 20, 2004 and February 21, 2006, inclusive, (the "Class Period"). Also included are all those who purchased shares in the secondary offering in February 2005.
The Complaint alleges that defendants violated federal securities laws by issuing a series of materially false statements regarding the safety of PolyHeme, a blood substitute. On February 22, 2006, The Wall Street Journal reported that data from defendants' ANH clinical trial revealed that ten of 81 patients who received PolyHeme suffered a heart attack within seven days, and two of those died. The data further showed defendants that none of the 71 patients in the ANH clinical trial who received real blood were found to have suffered a heart attack. After receiving this data, defendants shut down the ANH clinical study in 2000 and kept the highly adverse trial results secret.
In a February 22, 2006 press release responding to The Wall Street Journal article, defendants did not dispute the data concerning the patient heart attacks and deaths from the ANH clinical trial and admitted that they did not publish the full data upon the closing of the ANH trial. On this news, Northfield's stock fell to a close of $11.64 per share. On February 24, 2006, United States Senator Charles E. Grassley, Chairman of the U.S. Senate Finance Committee announced that he had launched an inquiry into the matter.
If you are a member of the class, you may, no later than May 19, 2006, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members, including decisions concerning settlement. The securities laws require the Court to consider the class member(s) with the largest financial interest as presumptively the most adequate lead plaintiff(s).
While Schatz & Nobel has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, class action cases in general, and your rights, please contact Schatz & Nobel toll-free at (800) 797-5499, or by e-mail at sn06106@aol.com, or visit our website: www.snlaw.net.