Federman & Sherwood Announces
the Filing of a Securities Class Action Lawsuit against CTI BioPharma Corp.
City, OK (February
16, 2016) – On February
10, 2016, a securities class action lawsuit was filed in the United
States District Court for the Southern District of New York against CTI
BioPharma Corp. (NASDAQ: CTIC).
The complaint alleges violations of federal securities laws, Sections
10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5,
including allegations of issuing a series of material or false misrepresentations
to the market which had the effect of artificially inflating the market price
during the Class Period, which is March 4,
2014 through February
9, 2016. More specifically,
this litigation was filed because throughout the Class Period, the Company made
false and/or misleading statements and/or failed to disclose: (1) the
detrimental effect on survival of pacritinib; (2) that the Company’s clinical
trials demonstrated deaths associated with pacritinib usage; (3) that the Company’s
new drug application for pacritinib would likely be withdrawn; (4) that, as
such, the Company’s future revenues were impaired; (5) that the company lacked
adequate internal controls; and (6) that, as a result of the foregoing, the
Company’s financial statements and Defendants’ statements about CTI Biopharma’s
business, operations, and prospects, were materially false and misleading at
all relevant times.
February 9, 2016, the Company issued a press release announcing that the FDA
had placed a full clinical hold on pacritinib, and required that all patients currently
on pacritinib must discontinue pacritinib immediately. The Company further
reported that it had withdrawn the new drug application for pacritinib. On this
news the Company’s shares fell $0.20 per share, on February 10, 2016, on
unusually heavy volume of over 15 million shares.
seeks to recover damages on behalf of all CTI
BioPharma Corp. shareholders who purchased common stock
during the Class Period and are therefore a member of the Class as described
above. You may move the Court no later
April 11, 2016 to serve as a lead plaintiff for the entire
Class. However, in order to do so, you
must meet certain legal requirements pursuant to the Private Securities
Litigation Reform Act of 1995.
join this class action, click here
to obtain an investor certification. Once complete, please email this
form to firstname.lastname@example.org, fax to us at (405) 239-2112 or send by regular mail to
Federman & Sherwood, 10205 North Pennsylvania Avenue, Oklahoma City, OK
73120, ATTN: Robin.
Posted on Tue, February 16, 2016
by Robin Hester filed under