SAN DIEGO, March 28, 2013 /PRNewswire/ -- Shareholder rights law firm Robbins Arroyo LLP is investigating whether officers and directors of SciClone Pharmaceuticals, Inc. (NASDAQ: SCLN) breached their fiduciary duties to shareholders.
Robbins Arroyo LLP Investigates Potential Accounting Errors and Misstated Financial Results in SciClone's Previously Filed Financial Statements for 2011 and Most of 2012
Robbins Arroyo LLP is investigating whether SciClone's financial reporting for fiscal years 2011 and 2012 may have been false and misleading. After the market closed on February 22, 2013, SciClone announced that its previously issued financial statements for the fiscal year 2011 and the first three quarters of fiscal 2012, were unreliable and would be restated. Specifically, the restatements will correct accounting errors in the company's recognition of product return reserves for sales of the drug Aggrastat and the timing of revenue recognition for certain products sold by SciClone's subsidiary NovaMed, a China-based company acquired in April 2011. On news of the restatement, SciClone's stock declined approximately 9%, to close at $4.40 per share on February 25, 2013.
In light of this news, Robbins Arroyo LLP is investigating whether: (i) SciClone's financial statements were not prepared in accordance with Generally Accepted Accounting Principles; and (ii) the company's internal accounting controls were deficient and permitted the premature recognition of revenue, leading to misstated financial results.
Robbins Arroyo LLP highlights that SciClone shareholders have the option to pursue a shareholder derivative action through which shareholders aim to hold insider wrongdoers accountable for their actions, prevent future misconduct, and bring long-term value back to the company. Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Darnell R. Donahue at (800) 350-6003, DDonahue@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo 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. For more information, please go to http://www.robbinsarroyo.com.
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SOURCE Robbins Arroyo LLP