BOSTON, Dec. 2, 2015 /PRNewswire/ -- Zafgen, Inc. ("Zafgen" or the "Company") (NASDAQ: ZFGN) and its chief executive officer, Thomas E. Hughes, were named as defendants in a lawsuit, alleging that they violated the Federal Securities Laws, filed by Block & Leviton LLP on October 21, 2015.
The lawsuit, filed in Federal Court in the District of Massachusetts, docket number 1:15-cv-13618, alleges that Defendants made misleading misrepresentations about thrombotic adverse events in previous clinical trials of its leading drug candidate beloranib.
Until October 16, 2015, Zafgen had only ever disclosed two thrombotic adverse events in one prior clinical trial. In fact, as Zafgen was forced to disclose on October 16, 2015, there had been four thrombotic adverse events in prior clinical studies of beloranib—two more than previously reported—as well as two additional, previously undisclosed thrombotic events in ongoing studies, for a total of six thrombotic events out of 400 patients receiving beloranib, compared to zero thrombotic events in the approximately 150 patients treated with a placebo. The stock dropped significantly following this revelation.
If you purchased Zafgen stock between January 12, 2015 and October 16, 2015 you may be a member of the alleged class. You may move the Court to be a lead plaintiff or you need not take any action at this time. If you wish to be a lead plaintiff, you must file a motion by December 21, 2015.
If you are interested in becoming a lead plaintiff, have questions about your legal rights, or if you have information relevant to this investigation, please contact attorney Jeffrey Block or Joel Fleming of Block & Leviton LLP at (617) 398-5600 or at Jeff@blockesq.com or Joel@blockesq.com. You may also retain counsel of your own choosing. Confidentiality for any whistleblowers or other persons with information relevant to the investigation is assured.
Block & Leviton represents investors for violations of securities laws as well as whistleblowing employees who provide information about their employers' violations of law throughout the country. The firm's lawyers have collectively been prosecuting securities cases for over 70 years, have recovered billions of dollars for investors and represent some of the nation's largest institutional investors.
SOURCE Block & Leviton LLP