Robbins Arroyo LLP: Akorn, Inc. (AKRX) Misled Shareholders According to a Recently Filed Class Action
Robbins Arroyo LLP announces that a class action complaint was filed against Akorn, Inc. (NASDAQGS: AKRX) in the U.S. District Court for the Southern District of New York. The complaint is brought on behalf of all purchasers of Akorn securities for alleged violations of the Sherman Antitrust Act and the Clayton Antitrust Act by Akorn’s officers and directors. Akorn, a specialty generic pharmaceutical company, develops, manufactures, and markets generic and branded prescription pharmaceuticals, as well as private-label over-the-counter consumer health products and animal health pharmaceuticals in the United States and internationally. Akorn manufactures a generic form of Clobetasol Propionate, a highly potent corticosteroid used to treat various skin disorders, including eczema and psoriasis.
Akorn Accused of Colluding with Its Competitors
According to the complaint, beginning in June 2014, following attendance at generic pharmaceutical manufacturer meetings, Akorn, along with several other pharmaceutical companies, collectively inflated their generic Clobetasol prices. The complaint notes that Clobetasol prices increased nearly 700% and have since been maintained at those supracompetitively high prices. The complaint further states that there were no reasonable justifications for the abrupt shift in pricing, such as a supply disruption or shortage, new patent or formulation, or manufacturing difficulties.
The complaint alleges that in order to effect their anticompetitive scheme, Akorn, along with other pharmaceutical companies, participated in conversations to discuss the price of generic Clobetasol in the United States, agreed to charge prices at specified levels and otherwise to increase or maintain prices of generic Clobetasol, and issued price announcements and price quotations in accordance with their agreements. Akorn’s conduct allegedly constituted an unreasonable restraint of interstate trade and commerce by artificially restraining price competition and in turn, caused Clobetasol consumers to purchase the drug at inflated and supracompetitive prices.
Akorn Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, or you can complete the form below and we will contact you directly.