DALLAS--(BUSINESS WIRE)--Former United States Securities and Exchange Commission attorney Willie Briscoe, founder of The Briscoe Law Firm, PLLC, and the securities litigation firm of Powers Taylor LLP announce that a federal class action lawsuit has been filed in the United States District Court for the Central District of California against CytRx Corporation (“CytRx”) (NASDAQ: CYTR) and several officers and directors for acts taken during the period of November 18, 2014 and July 11, 2016 (the “Class Period”).
Shareholders who suffered a loss during the class period have until September 23, 2016 to seek appointment as lead plaintiff. If you lost more than $75,000 from shares purchased during the class period and wish to take a more proactive role in the litigation, you are urged to contact Willie Briscoe at The Briscoe Law Firm, PLLC via email at firstname.lastname@example.org, Patrick Powers at Powers Taylor LLP via email at email@example.com, or call toll free at (877) 728-9607. There is no cost or fee to you.
According to the complaint, the defendants are alleged to have violated certain provisions of the Securities Exchange Act of 1934. Specifically, the complaint alleges, among other things, that defendants issued statements and/or failed to disclose that: (1) the clinical hold placed on the Phase 3 trial of Aldoxorubicin for STS would inhibit the necessary follow-up for patients in the study; (2) close to half of the patients would be excluded from the progression free survival evaluation; (3) CytRx would probably need a second analysis; (4) the trial's results could be materially affected and/or approval of Aldoxorubicin for STS could be delayed; and (5) consequently, CytRx's public statements were materially false and misleading at all relevant times.
On July 11, 2016, CytRx announced the results of the Company’s Phase 3 clinical trial of Aldoxorubicin compared to investigator’s choice therapy in patients with relapsed or refractory STS. CytRx disclosed that “the study did not show a significant difference between aldoxorubicin and investigator’s choice therapy for [progression free survival] . . .” CytRx also disclosed that a partial clinical hold in November 2014 led to insufficient follow-up for nearly two-thirds of patients who entered the Phase 3 study after the hold was resolved and enrollment resumed. As a result, nearly half of all patients were excluded from the progression free survival evaluation. Finally, CytRx announced that it “expects to conduct a second analysis, which will include longer patient follow-up and allow for greater maturation of all endpoints.” CytRx stock dropped significantly immediately following this announcement.
The Briscoe Law Firm, PLLC is a full service business litigation, commercial transaction, and public advocacy firm with more than 20 years of experience in complex litigation and transactional matters.
Powers Taylor LLP is a boutique litigation law firm that handles a variety of complex business litigation matters, including claims of investor and stockholder fraud, shareholder oppression, shareholder derivative suits, and security class actions.