NEW YORK--(BUSINESS WIRE)--The law firm of Kirby McInerney LLP is investigating potential claims against Penumbra, Inc. (“Penumbra” or the “Company”) (NYSE: PEN). The investigation focuses on whether Penumbra issued false and/or misleading statements and/or failed to disclose information pertinent to investors concerning the Company’s scientific research.
This recall comes on the heels of a November 10, 2020 research report released by Quintessential Capital Management (“QCM”) entitled “Penumbra and its ‘Killer Catheter’: A tale of corporate greed and seemingly blatant disregard for patients’ lives[.]” QCM stated that it received “expert opinions from multiple surgeons and former senior FDA personnel,” leaving QCM “confident that Penumbra’s flagship device may be on the verge of a class 1 recall by the FDA.”
Then, on December 8, 2020, QCM published another report accusing Penumbra of using a fake character to generate supporting scientific literature for its products. According to QCM, “[t]his fraudulent character appears to have been fabricated by management in a reckless attempt to hide its involvement with critical research produced with significant undisclosed conflicts of interest.” Significantly, Penumbra later admitted its co-founder, Arani Bose, was the real author of certain challenged literature.
Then, on December 15, 2020, Penumbra announced it was voluntarily recalling all configurations of its JET 7 Xtra Flex device because it may be susceptible to damage during use and subsequent patient injury or death.
On this news, the Company’s share price fell $13.84 per share, or approximately 7.3%, to close at $174.98 per share on December 16, 2020.
Most recently, on December 28, 2020, research firm Marcus Aurelius Value published a report concluding Penumbra’s recall was not just a matter of “bad luck” but “instead symptomatic of more pervasive rot.” The report accuses Penumbra of improperly using a small Tennessee entity as the “‘independent’ core lab used to adjudicate many of Penumbra’s clinical studies since at least 2013 even though it is registered to the wife of a Penumbra scientific author and site investigator.”
On this news, the Company’s share price fell $11.46 per share, or approximately 6.11%, to close at $175.95 per share on December 28, 2020.
If you purchased or otherwise acquired Penumbra securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: http://www.kmllp.com.
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