NEW ORLEANS, Nov. 11, 2016 /PRNewswire/ -- Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC ("KSF"), announces that KSF has commenced an investigation into Puma Biotechnology, Inc. (NYSE: PBYI).
On September 30, 2016, a United States District Judge for the Central District of California United States District Court denied a motion to dismiss in a shareholder class action against Puma, CEO, President, and Chairman Alan H. Auerbach, and Senior Vice President, Finance and Administration and Treasurer Charles R. Eyler. The class action alleged that, in violation of the federal securities laws, Puma and the other defendants failed to inform shareholders that the shift in what its breast cancer drug, called neratinib, could actually treat would require additional studies and push the timeline for filing the NDA into the first quarter of 2016, and that Puma made false and misleading statements concerning the results for its phase 3 trial.
In denying Puma's motion to dismiss the securities fraud class action, the court stated that the plaintiff had "adequately and specifically alleged why each of these statements and several others could be false or at least misleading." The court further held that the complaint contained allegations adequate to show that Auerback "knew about the allegedly real trial results when he made the alleged misrepresentations."
KSF's investigation is focusing on whether Puma's officers and/or directors breached their fiduciary duties to Puma's shareholders or otherwise violated state or federal laws.
If you have information that would assist KSF in its investigation, or have been a long-term holder of Puma shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-877-515-1850 or email KSF Managing Partner Lewis Kahn ([email protected]).
About Kahn Swick & Foti, LLC
KSF, whose partners include the Former Louisiana Attorney General Charles C. Foti, Jr., is a law firm focused on securities, antitrust and consumer class actions, along with merger & acquisition and breach of fiduciary litigation against publicly traded companies on behalf of shareholders. The firm has offices in New York, California and Louisiana.