An investigation on behalf of current long term investors in NASDAQ:INSY shares over possible breaches of fiduciary duty by certain directors of Insys Therapeutics Inc was announced and NASDAQ:INSY stockholders should contact the Shareholders Foundation.
San Diego, CA -- (SBWIRE) -- 05/18/2016 -- Certain directors of Insys Therapeutics Inc are under investigation over potential wrongdoing. The investigation was announced on behalf of current long-term investors in NASDAQ:INSY shares concerning potential breaches of fiduciary duties by certain Insys Therapeutics directors.
Shares of Phoenix, AZ based Insys Therapeutics Inc (NASDAQ:INSY) declined from $44.74 per share in August 2-015 to as low as $12.21 per share on May 12, 2016.
Investors who are current long term investors in Insys Therapeutics Inc (NASDAQ:INSY) shares, have certain options and should contact the Shareholders Foundation at email@example.com or call 858-779-1554.
The investigation by a law firm for investors in NASDAQ:INSY stocks follows a lawsuit filed recently against Insys Therapeutics Inc over alleged securities laws violations. The investigation on behalf of current long term investors in NASDAQ:INSY stocks, concerns whether certain Insys Therapeutics Inc and directors are liable in connection with the allegations made in that lawsuit.
According to that complaint filed in the U.S. District Court for the District of Arizona the plaintiff alleges that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between March 3, 2015 and January 25, 2016 the defendants are alleged to have failed to disclose that the Company was engaged in the illegal and improper off-labeling marketing of Subsys, that certain Insys employees—including Defendant Michael L. Babich, the President and Chief Executive Officer of Insys during much of the Class Period—were complicit in an illegal kickback scheme operated for the purpose of increasing prescriptions of Subsys, and that as a result, the Company's financial statements were materially false and misleading at all relevant times.
On April 24, 2015, an article was published entitled "Insys Therapeutics and the New 'Killing It,'" reporting on patients who either died or suffered adverse events while being treated with Subsys. The article also detailed how Insys Therapeutics Inc aggressively markets Subsys.
On May 20, 2015, another article wa published entitled "Top prescribers of Insys Therapeutics' Subsys arrested on drug charges," reporting that two of Insys's highest-volume prescribers had been charged with illegal prescription drug distribution by the Drug Enforcement Agency ("DEA").
On June 25, 2015, another article reported that a nurse in Connecticut pled guilty to participating in a kickback scheme wherein she accepted approximately $83,000 in kickbacks from Insys Therapeutics Inc in exchange for writing more than $1 million worth of Subsys prescriptions.
On December 3, 2015, another article was published entitled "Murder Incorporated: Insys Therapeutics, Part I," alleging that one Defendant had been forced to resign from the Company by Insys Therapeutics' founder and the Executive Chairman of Insys's Board of Directors—and that Insys Therapeutics Inc operated a scheme to promote the illegal and improper off-label marketing and sale of Subsys.
On January 25, 2016, another article was published entitled "The Brotherhood of Thieves: Insys Therapeutics," alleging that Insys Therapeutics' executives have continued to pressure Company employees to develop new schemes to promote the illegal and improper off-label marketing and sale of Subsys.
Those who purchased shares of Insys Therapeutics Inc have certain options and should contact the Shareholders Foundation.
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