Pain Therapeutics, Inc.
Robbins Umeda LLP Announces an Investigation of Pain Therapeutics, Inc.
Robbins Umeda LLP is investigating possible breaches of fiduciary duty and other violations of the law by certain officers and directors at Pain Therapeutics, Inc. (NASDAQ: PTIE). Concerned shareholders who would like more information about their rights and potential remedies can complete the form below and we will contact you directly. You can also contact attorney Gregory E. Del Gaizo at (800) 350-6003.
Robbins Umeda LLP’s investigation focuses on whether officials at Pain Therapeutics breached their fiduciary duties to shareholders, maintained woefully inadequate controls, and wasted corporate assets to the detriment of the company and investors. In particular, the firm is investigating allegations that certain officers and directors misled the public to believe that, based on data gathered from clinical trials, the company would receive Food and Drug Administration (“FDA”) approval for the company’s signature drug, REMOXY.
On June 24, 2011, Pain Therapeutics announced that it had received a letter from the FDA stating that the agency had not approved the New Drug Application for REMOXY. As a result, the company’s stock market capitalization declined by more than $173.4 million, or nearly 43%. Furthermore, on June 27, 2011, the company disclosed that the FDA’s decision not to grant approval for REMOXY was based in part on chemistry, manufacturing and control deficiencies associated with the drug that yielded inconsistent results during laboratory trials. As a result of this revelation, Pain Therapeutics’ stock market capitalization declined an additional $60 million, or nearly 26%. Since these facts have emerged, Pain Therapeutics has increasingly become the target of costly public and legal scrutiny, while manufacturing problems at the company threaten to indefinitely delay FDA approval of REMOXY.
Robbins Umeda LLP is a nationally recognized leader in securities litigation and shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.