Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) Investor Files Securities Class Action Lawsuit Over Alleged False And Misleading Statements
Sept. 26, 2012 (Shareholders Foundation) --An investor in shares of Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) filed a lawsuit in the U.S. District Court for the Central District of California against Questcor Pharmaceuticals, Inc. over potential securities laws violations in connection with certain allegedly false and misleading statements regarding its injectable drug H.P. Acthar Gel.
Questcor is a biopharmaceutical company. Its primary product is H.P. Acthar Gel (Repository Corticotropin Injection), an injectable drug that is approved by the U. S. Food and Drug Administration (“FDA”) for the treatment of several conditions, including multiple scelorosis, nephrotic syndrome and infantile spasms.
According to the complaint the plaintiff alleges on behalf of purchasers of Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) common stock during the period between April 26, 2011 and September 21, 2012, that Questcor Pharmaceuticals, Inc. and certain of its officers and directors violated the Securities Exchange Act of 1934 by issuing between April 26, 2011 and September 21, 2012 allegedly false and misleading statements about the effectiveness of Acthar as a treatment for multiple scelorosis and nephrotic syndrome, making it allegedly impossible for shareholders to gain a meaningful or realistic understanding of the drug’s prospects and market success
Shares of Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) grew from $3.50 per share in November 2009 to as high as $57.64 per share on July 9, 2012.
Then on September 24, 2012, Questcor Pharmaceuticals, Inc. disclosed in a filing with the Securities and Exchance Commission that on September 21, 2012, Questcor Pharmaceuticals, Inc. (became aware of a U.S. government investigation involving Questcor Pharmaceuticals’ promotional practices.
Last week Aetna Inc. said it would limit coverage of Questcor's top-selling drug, H.P. Acthar, a treatment for multiple sclerosis and infant seizures. Aetna issued a Clinical Policy Bulletin stating that based on review of medical studies Acthar was "not medically necessary" for certain conditions for which it has been prescribed and as a result Aetna would limit the coverage of H.P. Acthar.
Shares of Questcor Pharmaceuticals, Inc. (NASDAQ:QCOR) dropped from as high as $32.90 per share on September 21, 2012 to as low as $18.90 per share on Monday, September 24, 2012.
On September 26, 2012, NASDAQ:QCOR shares closed at $18.24 per share.