NEW YORK, Dec. 19, 2014 (GLOBE NEWSWIRE) -- Pomerantz LLP has filed a class action lawsuit against Sanofi ("Sanofi" or the "Company") (NYSE:SNY) and certain of its officers. The class action, filed in United States District Court, Southern District of New York, and docketed under 14-cv-9624, is on behalf of a class consisting of all persons or entities who purchased Sanofi securities between February 7, 2013 and December 3, 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 are a shareholder who purchased Sanofi securities during the Class Period, you have until February 2, 2015 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at rswilloughby@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll free, x237. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Sanofi is a global pharmaceutical company that researches, develops and manufactures prescription pharmaceuticals and vaccines.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, defendants made false and/or misleading statements and/or failed to disclose that: (1) Sanofi was making improper payments to healthcare professionals in connection with the sale of pharmaceutical products in violation of federal law; (2) Sanofi lacked adequate internal controls over financial reporting; and (3) as a result of the foregoing, Sanofi's public statements were materially false and misleading at all relevant times.
On October 6, 2014, the Company's media relations department issued a statement announcing that the Company was investigating allegations related to improper payments to healthcare workers.
On October 29, 2014, the Company issued a press release and filed a Form 6-K with the SEC, announcing that its Board of Directors had decided to terminate Christopher A. Viehbacher from his position as Chief Executive Officer of Sanofi. As a result of this news, shares of Sanofi fell as much as $2.85 or almost 6%, in unusually heavy volume, to close at $45.22 on October 29, 2014.
On December 3, 2014, it was reported by Bloomberg and other media outlets that a whistleblower lawsuit against Sanofi has been filed in New Jersey by former Sanofi paralegal Diane Ponte. The suit alleges that Christopher Viehbacher, the recently ousted CEO of Sanofi, and other executives at the Company conducted a scheme in violation of federal law to funnel tens of millions of dollars in kickbacks and other incentives to get the company's diabetes drugs prescribed and sold. The lawsuit also claims that Viehbacher was fired by the company's board in October "in part, because Defendant Viehbacher was involved in the aforesaid illegal and/or fraudulent activity," which allegedly went on "over the course of many years." Lastly, the suit alleges that Ponte was fired as a result of whistleblowing activity in retaliation for bringing the scheme to light. These allegations come two years after the drug company reached an agreement with the Justice Department and several states to pay $109 million to settle claims that it engaged in kickbacks by giving doctors free samples of an arthritis drug as a means of encouraging them to buy and prescribe the medication.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San Diego, 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.