A lawsuit was filed by an investor in Advaxis, Inc. (NASDAQ:ADXS) shares over alleged wrongdoing by certain directors.
San Diego, CA -- (SBWIRE) -- 09/29/2015 -- A shareholder in NASDAQ:ADXS shares filed a lawsuit against certain Advaxis, Inc directors over alleged wrongdoing.
Investors who purchased shares of Advaxis, Inc. (NASDAQ:ADXS) have certain options and should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
The plaintiff alleges that certain directors of Advaxis, Inc doubled their salaries by allegedly manipulating stock option to kick in just before good news was announced.
The plaintiff claims that in March 2015 the board of directors of Advaxis, Inc turned over administration of a newly adopted compensation plan to the Compensation Committee, which increased the equity granted to the defendants as part of their salary. According to the complaint on the same day, the Compensation Committee granted executives restricted stock units valued at $868,923 and stock options valued at $19 million and nonexecutives had their compensation similarly modified.
The plaintiff says that with only 650,000 shares available, the compensation plan fell drastically short of the 1.9 million shares the Compensation Committee wanted to grant, so it decided to make the awards contingent on stockholder approval.
However, the plaintiff claims that while the Compensation Committee's grant of stock awards contingent on a later stockholder approval was exceedingly strange, the reason for this move, however, became apparent over the next three week during which, Advaxis, Inc released good news three times that pushed its stock price to $23.61 per share, an increase of over $10 per share, a 75 percent jump.
Those who purchased shares of Advaxis, Inc. have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
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