The Law Office Of Robbins Umeda LLP Announces The Filing Of A Class Action Suit Against Acura Pharmaceuticals, Inc.
Robbins Umeda LLP today announced that a class action has been commenced in the United States District Court for the Northern District of Illinois (the "Court") on behalf of purchasers of Acura Pharmaceuticals, Inc. ("Acura" or the "Company") (NASDAQ: ACUR) common stock during the period between February 21, 2006 and April 22, 2010.
Acura engages in the research, development, and manufacture of pharmaceutical product candidates utilizing its proprietary Aversion Technology and other technologies. Acura claims its Aversion Technology is a proprietary platform technology providing abuse deterrent features and benefits to orally administered pharmaceutical drug products containing abusable active ingredients, such as tranquilizers, stimulants, sedatives, decongestants, and various other opioid analgesics. The Company states that its lead product candidate, Acurox Tablet ("Acurox"), is an orally administered immediate release tablet containing oxycodone HCl as its active analgesic ingredient. Acura was founded in 1935 and is based in Palatine, Illinois.
The complaint alleges that Acura and certain of its officers concealed material adverse facts concerning the effectiveness of Acurox. Additionally, the complaint charges Acura and certain of its officers with violations of the Securities Exchange Act of 1934.
According to the complaint, the Company failed to disclose material information regarding Acurox, including: (i) its clinical data was defective and its clinical studies were not properly designed; (ii) Acura had wholly ignored specific directives from the U.S. Food and Drug Administration (the "FDA") over the past four years as to specific clinical trials and evidence Acura had to demonstrate; and (iii) no evidence had ever been presented to the FDA that the niacin addictive discouraged abusers from abusing oxycodone.Then, on April 20, 2010, the FDA announced that the Company's clinical data and studies were substandard. Upon this news, Acura's stock price declined 42.5% in one day, to close at $6.25 in afterhours trading. Further, on April 22, 2010, the FDA Joint Panel voted nineteen to one against approving Acurox, and it was reported that the FDA had been prodding Acura to demonstrate the deterrent efficacy of niacin since at least May 2009. As a result of these disclosures, the Company's stock price declined an additional 39%, to $3.20 per share, in the pre-market trading on April 23, 2010.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV