LOS ANGELES--(BUSINESS WIRE)--Glancy Prongay & Murray LLP (“GPM”) reminds investors of the May 16, 2017 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased Insys Therapeutics, Inc. (“Insys” or the “Company”) (NASDAQ: INSY) securities between February 23, 2016 and March 15, 2017, inclusive (the “Class Period”). Insys investors have until May 16, 2017 to file a lead plaintiff motion.
On March 15, 2017, Insys disclosed that it would delay the release of its financial results for the fourth quarter and full year 2016 in order to complete an independent review of the Company’s processes related to sales allowances and extended payment terms. The company further disclosed that the review could result in a reduction of 2015 net revenue and pre-tax income. On this news, shares of Insys fell approximately 5% during intraday trading on March 16, 2017, thereby injuring investors.
The Complaint filed in this class action lawsuit alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Insys had overstated its 2015 net revenue; (ii) Insys had misstated its sales allowances for 2016; (iii) accordingly, the Company lacked effective internal controls over financial reporting; and (iv) as a result of the foregoing, Insys’ public statements were materially false and misleading at all relevant times.
Case Update: On May 9, 2017, the Company’s CEO said it was working to resolve a U.S. Justice Department probe, after prosecutors accused several former executives of leading a scheme to bribe doctors to prescribe a fentanyl-based pain medication.
If you purchased or otherwise acquired Insys shares during the Class Period you may move the Court no later than May 16, 2017 to request appointment as lead plaintiff. To be a member of the class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you wish to learn more about this action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Lesley Portnoy, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to firstname.lastname@example.org, or visit our website at http://www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
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