New York City-based law firm, Pomerantz LLP, has just announced that a class action lawsuit has been filed against Lion Biotechnologies, Inc. (NASDAQ:$IOVA) and certain of its officers. The lawsuit was filed in United States District Court, in the Northern District of California. It was docketed under 17-cv-02188, and was filed on behalf of investors who had purchased and/or acquired the securities of Lion who was looking to recover compensable damages that was caused by Lion’s violations of the Securities Exchange Act of 1934.
If you are a shareholder who has purchased Lion securities between the dates of November 14, 2013 and April 10, 2017 (dates inclusive), you can ask the Court to appoint you as Lead Plaintiff. The deadline for the inquiry is June 13, 2017. After that date you can no longer ask to be assigned Lead Plaintiff.
Lion Biotechnologies, Inc. is a clinical-stage biotechnology company that focused on the development and commercialization of cancer immunotherapy treatments. The treatments are formed under the basis of tumor infiltrating lymphocytes (TIL), also known as adoptive T-cell therapy. The company is being sued for providing investors with false information and statements regarding business, operational, and compliance policies.
On April 10, 2017, the U.S. Securities and Exchange Commission(SEC) discovered that Lion’s former CEO, Manish Singh, had commissioned over 10 internet publications and 20 widely distributed emails between September 2013 and March 2014. The publications and emails promoted Lion to potential investors under pretenses that they were independent from the company when they were being paid. As well, Singh formed relations with an infamous stock promotion firm, paying writers to publish articles about Lion on investment websites as well as distribute the articles to thousands of potential investors through email. Singh participated in the promotional work for Lion with Lidingo, having knowledge that the writers would not disclose the fact that Lion was indirectly paying them for their publications. As such, public statements and information during these times have been false and misleading.
On April 11, 2017, the day right after SEC’s findings, Lion filed a Current Report on Form 8-K with the SEC. Since then, Lion’s share price fell by 7.63% ($0.50), closing at $6.05 on April 13, 2017 — quite a fall compared to the closing price of $6.55 on April 7th, 2017.
The Pomerantz Firm, with offices in major U.S. cities like New York, Chicago, Florida, and Los Angeles, will be suing Lion Biotechnologies. The law firm is known for its handling on corporate, securities, and antitrust class litigation; pioneering the field of securities class actions. Today, the Pomerantz firm continues to fight for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct.
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