NEW YORK, April 28, 2017 /PRNewswire/ -- Pomerantz LLP announces that a class action lawsuit has been filed against Lion Biotechnologies, Inc. ("Lion" or the "Company") (NASDAQ: LBIO) and certain of its officers. The class action, filed in United States District Court, Northern District of California, and docketed under 17-cv-02188 is on behalf of a class consisting of investors who purchased or otherwise acquired Lion securities, seeking to recover compensable damages caused by defendants' violations of the Securities Exchange Act of 1934.
If you are a shareholder who purchased Lion securities between November 14, 2013 and April 10, 2017, both dates inclusive, you have until June 13, 2017 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll free, ext. 9980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and number of shares purchased.
Lion Biotechnologies, Inc., a clinical-stage biotechnology company, focuses on developing and commercializing cancer immunotherapy products to harness the power of a patient's immune system to eradicate cancer cells.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Lion, through the Company's former Chief Executive Officer ("CEO"), Defendant Manish Singh ("Singh"), engaged in a scheme to mislead investors by commissioning over 10 internet publications and 20 widely distributed emails promoting Lion to potential investors that purported to be independent from the Company when, in fact, they were paid promotions; (ii) Defendant Singh engaged a notorious stock promotion firm to pay writers to publish articles about Lion on investment websites as well as to coordinate the distribution of articles to thousands of electronic mailboxes; (iii) Defendant Singh actively participated in Lidingo's promotional work for Lion and understood that Lidingo was using writers who would not disclose that Lion was indirectly compensating them for their publications; and (iv) as a result of the foregoing, Lion's public statements were materially false and misleading at all relevant times.
On April 10, 2017, the SEC found that between September 2013 and March 2014, the Company's former CEO Manish Singh misled investors by commissioning over 10 internet publications and 20 widely distributed emails that purported to be independent from the Company and promoted Lion to potential investors, which were in fact paid promotions. On the next day, the Company filed a Current Report on Form 8-K with the SEC, addressing the SEC's findings.
On news of the SEC's findings, Lion's share price fell $0.50, or 7.63% over the following trading days, to close at $6.05 on April 13, 2017.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los Angeles, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, the Pomerantz Firm pioneered the field of securities class actions. Today, more than 80 years later, the Pomerantz Firm continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered numerous multimillion-dollar damages awards on behalf of class members. See www.pomerantzlaw.com
Robert S. Willoughby
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SOURCE Pomerantz LLP