Robbins Arroyo LLP: Akorn, Inc. (AKRX) Misled Shareholders According to a Recently Filed Class Action
Robbins Arroyo LLP announces that an investor of Akorn, Inc. (NASDAQGS: AKRX) has filed a federal securities fraud class action complaint in the U.S. District Court for the Northern District of Illinois. The complaint alleges that the company and certain of its officers and directors violated the Securities Exchange Act of 1934 between April 17, 2014 and March 2, 2015. Akorn manufactures and markets diagnostic and therapeutic ophthalmic pharmaceuticals, hospital drugs, and injectable pharmaceuticals in the United States and internationally.
Akorn Misrepresents Its Business Practices
According to the complaint, shares of Akron fell $4.38 per share, or 8%, to close at $49.33 per share on March 3, 2015, following Akorn’s disclosure that the company had requested an extension from the U.S. Securities and Exchange Commission to file its annual report on a Form 10-K for the year ending December 31, 2014. In the press release, Akron cited unforeseen delays in collecting and compiling certain financial and other data related to its VersaPharm and Hi-Tech Pharmacal subsidiaries.
The complaint further alleges that Akron made false and or misleading statements and failed to disclose that: (i) as of December 31, 2014, Akron did not yet integrate its newly acquired subsidiaries into the company’s centralized accounting department and accounting systems; (ii) certain financial and other related data related to Hi-Tech and VersaPharm could not be timely collected and compiled; and (iii) its internal control over financial reporting was ineffective.
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.