Cell Pathways, Inc. Sued for Deceiving Investors About New Drug, Berman DeValerio & Pease Says

Apr 03, 2001, 01:00 ET from Berman DeValerio & Pease

    PHILADELPHIA, April 3 /PRNewswire/ -- A shareholder sued Cell Pathways,
 Inc. (Nasdaq:   CLPA) today in federal court, accusing the company of misleading
 investors about a cancer drug it was developing, Berman DeValerio & Pease LLP
 said.
     The class action, captioned Webb v. Cell Pathways, Inc., seeks damages
 under federal securities laws for all investors who bought Cell Pathways stock
 between October 27, 1999 and September 22, 2000 (the "Class Period"). It was
 filed in U.S. District Court for the Eastern District of Pennsylvania.
 Berman DeValerio & Pease, which filed the lawsuit, has represented defrauded
 investors in class actions for nearly two decades. To review the complaint and
 learn more about becoming a lead plaintiff, visit our Website at
 www.bermanesq.com.
     The lawsuit charges Cell Pathways and two top officers with issuing false
 and misleading statements about the drug, Aptosyn(R), and about the drug's
 chances of gaining approval from the U.S. Food and Drug Administration (FDA).
 The complaint says that the defendants made positive statements about clinical
 trial results and the regulatory process during the Class Period, despite
 providing the FDA with "deficient" supporting data.
     On September 22, 2000, the company disclosed that the FDA had rejected the
 new drug application as "non-approvable," a strongly negative finding given to
 only a small percentage of applicants.
     The rejection stunned investors. As one analyst put it: "The repeated
 expressions of confidence that the product would be approved-with this result-
 causes me to question how well-grounded management is in reality, with regard
 to the regulatory process."
     Cell Pathways' stock, which had traded as high as $61 a share during the
 Class Period, quickly fell from nearly $21 a share to about $9 a share, a 70%
 drop in value.
     If you purchased Cell Pathways common stock during the period October 27,
 1999 through September 22, 2000, you may wish to contact the following
 attorneys at Berman DeValerio & Pease to discuss your rights and interests:
 
      Patrick T. Egan, Esq.
      Michael G. Lange, Esq.
      Berman DeValerio & Pease
      One Liberty Square
      Boston, MA 02109
      bdplaw@bermanesq.com
      (800) 516-9926
 
     If you wish to apply to be lead plaintiff in this action, a motion must be
 filed on your behalf with the court no later than May 15, 2001.  You may
 contact the attorneys at Berman DeValerio & Pease to discuss your rights
 regarding the appointment of lead plaintiff and your interest in the class
 action. To be a member of the class, however, you need not take any action at
 this time and you may retain counsel of your own choice.  If you decide to
 seek appointment as lead plaintiff, you may also retain counsel of your
 choice.
     With offices in Boston and San Francisco, Berman DeValerio & Pease LLP has
 prosecuted shareholder class actions since 1982, recovering more than $1
 billion for investors. The firm has acted as lead counsel in numerous lawsuits
 involving violations of federal securities laws. It has successfully litigated
 these actions, and has been singled out for its excellence by many courts.
 The firm prides itself on its responsiveness to shareholders and their needs
 in each case.
 
 

SOURCE Berman DeValerio & Pease
    PHILADELPHIA, April 3 /PRNewswire/ -- A shareholder sued Cell Pathways,
 Inc. (Nasdaq:   CLPA) today in federal court, accusing the company of misleading
 investors about a cancer drug it was developing, Berman DeValerio & Pease LLP
 said.
     The class action, captioned Webb v. Cell Pathways, Inc., seeks damages
 under federal securities laws for all investors who bought Cell Pathways stock
 between October 27, 1999 and September 22, 2000 (the "Class Period"). It was
 filed in U.S. District Court for the Eastern District of Pennsylvania.
 Berman DeValerio & Pease, which filed the lawsuit, has represented defrauded
 investors in class actions for nearly two decades. To review the complaint and
 learn more about becoming a lead plaintiff, visit our Website at
 www.bermanesq.com.
     The lawsuit charges Cell Pathways and two top officers with issuing false
 and misleading statements about the drug, Aptosyn(R), and about the drug's
 chances of gaining approval from the U.S. Food and Drug Administration (FDA).
 The complaint says that the defendants made positive statements about clinical
 trial results and the regulatory process during the Class Period, despite
 providing the FDA with "deficient" supporting data.
     On September 22, 2000, the company disclosed that the FDA had rejected the
 new drug application as "non-approvable," a strongly negative finding given to
 only a small percentage of applicants.
     The rejection stunned investors. As one analyst put it: "The repeated
 expressions of confidence that the product would be approved-with this result-
 causes me to question how well-grounded management is in reality, with regard
 to the regulatory process."
     Cell Pathways' stock, which had traded as high as $61 a share during the
 Class Period, quickly fell from nearly $21 a share to about $9 a share, a 70%
 drop in value.
     If you purchased Cell Pathways common stock during the period October 27,
 1999 through September 22, 2000, you may wish to contact the following
 attorneys at Berman DeValerio & Pease to discuss your rights and interests:
 
      Patrick T. Egan, Esq.
      Michael G. Lange, Esq.
      Berman DeValerio & Pease
      One Liberty Square
      Boston, MA 02109
      bdplaw@bermanesq.com
      (800) 516-9926
 
     If you wish to apply to be lead plaintiff in this action, a motion must be
 filed on your behalf with the court no later than May 15, 2001.  You may
 contact the attorneys at Berman DeValerio & Pease to discuss your rights
 regarding the appointment of lead plaintiff and your interest in the class
 action. To be a member of the class, however, you need not take any action at
 this time and you may retain counsel of your own choice.  If you decide to
 seek appointment as lead plaintiff, you may also retain counsel of your
 choice.
     With offices in Boston and San Francisco, Berman DeValerio & Pease LLP has
 prosecuted shareholder class actions since 1982, recovering more than $1
 billion for investors. The firm has acted as lead counsel in numerous lawsuits
 involving violations of federal securities laws. It has successfully litigated
 these actions, and has been singled out for its excellence by many courts.
 The firm prides itself on its responsiveness to shareholders and their needs
 in each case.
 
 SOURCE  Berman DeValerio & Pease