NEW YORK, Oct. 24, 2014 (GLOBE NEWSWIRE) -- Morgan & Morgan announces that a securities class action has been filed against Retrophin, Inc. ("Retrophin" or the "Company") (Nasdaq:RTRX) and certain of its officers in The United States District Court for the Southern District of New York on behalf of a class consisting of all persons or entities who purchased Retrophin securities between March 27, 2014 and September 30, 2014, inclusive (the "Class Period"). This class action seeks to recover damages against Defendants for alleged violations of the federal securities laws under the Securities Exchange Act of 1934 (the "Exchange Act").
If you purchased Retrophin securities during the Class Period, you may, no later than December 19, 2014 request that the Court appoint you lead plaintiff of the proposed class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. Any member of the purported class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
If you want more information about the Retrophin Securities Class Action please contact Morgan & Morgan at 1-800-732-5200 or email info@morgansecuritieslaw.com.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, and failed to disclose material adverse facts about the Company's business, operations, prospects and performance. Specifically, during the Class Period, Defendants made materially false and/or misleading statements and/or failed to disclose that: (i) Retrophin's founder and Chief Executive Officer was committing stock-trading irregularities and other violations of the Company's Incentive Compensation Plan and other securities rules; (ii) the irregularities included grants of shares in violation of the Company's Incentive Compensation Plan and the failure to disclose stock grants to employees; and (iii) as a result of the above, the Company's financial statements were materially false and misleading at all relevant times.
On September 16, 2014, after the close of trading, the Company issued a press release and filed a Form 8-K with the SEC announcing that on September 15, 2014, it had reached an agreement with its Chief Financial Officer, Marc Panoff, pursuant to which Mr. Panoff's employment with the Company will terminate, effective as of February 28, 2015. Also, the Company announced that on September 10, 2014, Jeffrey Paley, MD, abruptly stepped down as a member of the Board of Directors. Following this news, shares of Retrophin fell $1.03 or over 8%, on unusually heavy trading, to close at $11.46 on September 17, 2014.
On September 30, 2014, after the close of trading, the Company issued a press release announcing that its Board of Directors terminated its Chief Executive Officer, Martin Shkreli, effective immediately, and appointed Stephen Aselage as interim Chief Executive Officer. Following this news, shares of Retrophin fell $0.40 or almost 4.5%, on unusually heavy trading, to close at $8.62 on October 1, 2014.
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