Cohen Milstein Sellers & Toll PLLC Announces the Investigation of Star Scientific, Inc. in Light of FBI Probe
WASHINGTON--(BUSINESS WIRE)-- Cohen Milstein Sellers & Toll PLLC is conducting an investigation to determine whether Star Scientific, Inc. ("Star" or the "Company") and certain of its officers and directors made false and misleading statements and/or omissions in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
Several class action lawsuits were filed in both the U.S. District Court for the Eastern District of Virginia and the District of Massachusetts by other law firms on behalf of purchasers of the common stock of Star Scientific, Inc. (NAS: STSI) between October 31, 2011 and March 18, 2013, inclusive (the "Class Period").
The complaints allege that Star Scientific and certain of its officers and directors ("Defendants") had: (1) misled investors regarding the true involvement of Johns Hopkins in the clinical testing of the Company's nutritional supplements; (2) made false and misleading statements about the Company's business, operational and compliance policies; (3) engaged in potentially illegal transactions involving certain private placements and related party transactions since 2006; and (4) failed to timely disclose a federal investigation.
The Class Period ends on March 18, 2013 with the Company's filing of its 2012 Form 10-K in which it revealed that it had, along with its officers, directors and others, received subpoenas from federal prosecutors investigating various related party transactions and private placements dating back to 2006:
Our present understanding is that the investigation is principally focused on transactions involving our company's securities including certain private placements and related party transactions since 2006...We are unable to predict the duration of the [our] internal investigation or the United States Attorney's investigation.
The price of Star Scientific shares fell from $1.98 to $1.64 on March 19.
The federal securities investigation of Star Scientific grew into an investigation examining the ties between the Company and the current governor of Virginia, Bob McDonnell. The Washington Post reported on April 30, 2013, that "federal officials are trying to determine whether to expand that investigation into a broader look at whether McDonnell or his administration took any action to benefit Star Scientific in exchange for monetary or other benefits," although the Post added that it is unclear whether the probe will be broadened.
Cohen Milstein encourages all investors who purchased Star Scientific common stock between October 31, 2011 and March 18, 2013 or former employees with information concerning this matter to contact the firm.
If you are a Star Scientific shareholder and would like to discuss your right to recover for your economic loss, you may, without any cost or obligation, call Cohen Milstein's Managing Partner, Steven J. Toll at (888) 240-0775 or (202) 408-4600, or email him at firstname.lastname@example.org. If you wish to serve as lead plaintiff, you must move the Court no later than May 24, 2013 to request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. To be appointed lead plaintiff, the Court must decide that your claim is typical of the claims of other class members, and that you will adequately represent the class. Your share in any recovery will not be enhanced or diminished by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may retain Cohen Milstein Sellers & Toll PLLC or other attorneys to serve as your counsel in this action, or you may do nothing and remain an absent class member.
Cohen Milstein Sellers & Toll PLLC has significant experience in prosecuting investor class actions and actions involving securities fraud. The firm has offices in Washington, D.C., New York, Chicago, Philadelphia and Palm Beach Gardens, and is active in major litigation pending in federal and state courts throughout the nation.
The firm's reputation for excellence has repeatedly been recognized by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation. Cohen Milstein Sellers & Toll PLLC has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total over a billion dollars. Prior results do not guarantee a similar outcome. For more information visit www.cohenmilstein.com.
If you have any questions about this notice or the action, please contact either of the following:
Steven J. Toll, Esq.
Cohen Milstein Sellers & Toll PLLC
1100 New York Avenue, N.W.
West Tower, Suite 500
Washington, D.C. 20005
Telephone: (888) 240-0775 or (202) 408-4600
Email: email@example.com; firstname.lastname@example.org
KEYWORDS: United States North America District of Columbia
The article Cohen Milstein Sellers & Toll PLLC Announces the Investigation of Star Scientific, Inc. in Light of FBI Probe originally appeared on Fool.com.
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