NEW YORK, April 3, 2006 (PRIMEZONE) -- Pomerantz Haudek Block Grossman & Gross LLP (www.pomerantzlaw.com) has filed a class action lawsuit in the United States District Court Northern District of Illinois, Eastern Division against Northfield Laboratories Inc. ("Northfield" or the "Company") (Nasdaq:NFLD), on behalf of purchasers of the common stock of the Company during the period from February 20, 2004 to February 21, 2006, inclusive (the "Class Period"). The complaint alleges violations of Section 10(b) and Section 20(a) of the Exchange Act and Rule 10b-5.
Northfield, a Delaware Corporation with principal offices in Evanston, Illinois, engages in the research, development, testing, manufacturing, marketing and distribution of a hemoglobin-based blood substitute called PolyHeme for the treatment of urgent life threatening blood loss in trauma and resultant surgical settings.
The complaint alleges that in press releases, SEC Filings and on the company's website, Defendants represented that PolyHeme is a human hemoglobin-based temporary oxygen-carrying red blood cell substitute, which simultaneously restores lost blood volume and hemoglobin levels and is designed for rapid, massive infusion. PolyHeme requires no cross-matching and is compatible with all blood types. Beginning in 1998, Northfield started a Phase III elective surgery trial with PolyHeme known as the Acute Normovolemic Hemodilution clinical trial (the "ANH clinical trial"). The study was designed to assess whether the use of PolyHeme would allow an increase in the volume of autologous blood collected during ANH and therefore avoid transfusion of donated blood. Unbeknownst to investors, however, Defendants failed to disclose the full study results of the ANH clinical trial, which revealed that ten of eighty-one patients who received PolyHeme experienced myocardial infarction, two of whom died.
On February 22, 2006, the Wall Street Journal published an article revealing that the company failed to publish the results of the ANH clinical trial which resulted in two patient deaths. The article reported that rather than publicly disclose the trial's results, the Company quietly closed it down, claiming in a SEC filing that the trial was taking too long to complete. As a result of the article, shares of Northfield's common stock fell from $12.23 per share on February 21, 2006, to $11.64 per share on February 22, 2006, a drop of $0.59 per share, or 4.82%. The stock has continued to fall, closing on March 29, 2006 at $9.13 per share.
If you purchased the securities of Northfield Laboratories, Inc. during the Class Period, you have until May 16, 2006 to ask the Court to appoint you as lead plaintiff for the Class. Lead plaintiffs must meet certain legal requirements. Shareholders outside the United States may also join the actions, regardless of where they live or which exchange was used to purchase the securities. If you would like a copy of the Complaint and Certification for Lead Plaintiff, you may click on the links below. If you wish to receive a copy via mail or e-mail or have any questions, please contact Teresa L. Webb (tlwebb@pomlaw.com) or Carolyn S. Moskowitz (csmoskowitz@pomlaw.com) of the Pomerantz Firm at (888) 476-6529 (or (888) 4-POMLAW,) toll free. Those who inquire by e-mail are encouraged to include their mailing address and telephone number.
The Pomerantz Firm, which has offices in New York, Chicago and Washington, D.C., 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, who was known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 50 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 received numerous multimillion-dollar damages awards on behalf of class members.
More information on this and other class actions can be found on the Class Action Newsline at www.primezone.com/ca