another valeant-class-action-lawsuits/
It is clear for me that we will see many articles about Valeant until Monday.
https://www.usatoday.com/story/money/2015/10/23/valeant-class-action-lawsuits/74457788/
Amid battling allegations about its business practices, Valeant Pharmaceuticals International(VRX) faces a new opponent — a potential class-action lawsuit filed on behalf of the Canada-based drugmaker's investors.
The action was filed in New Jersey federal court Thursday, days after a short-seller issued a report that cited Valeant's ties to a network of pharmacies that distribute the drugmaker's medications. The Citron Research report accused the company of creating "phantom accounts" as part of a purported "fraud to create invoices to deceive the auditors and book revenue."
Valeant denied the allegations, saying they appeared to be aimed at manipulating securities markets and driving down the value of the company's shares.
The lawsuit was filed by Robbins Geller Rudman & Dowd, a California-based law firm, on behalf of investors who purchased or owned Valeant shares between Feb. 23 and Oct. 20. The court complaint accuses Valeant and company officials of making false and misleading statements this year in news releases, conference calls with Wall Street analysts and public filings with the .
The lawsuit cites this week's steep plunges in the value of Valeant's shares after the Citron allegations. It also cites a decline after members of Congress questioned the firm's steep price hikes on two heart medications, along with a drop after Valeant disclosed that federal prosecutors had subpoenaed information about the firm's drug pricing and distribution.
Valeant has not yet commented on the lawsuit. The drugmaker scheduled a Monday conference call with investors to "lay out the facts" about the "allegations ... unsupported speculation and incorrect interpretations" that have affected the company "to the detriment of the shareholders."
Partially recovering from this week's heavy losses, Valeant shares closed up 5.72% at $116.16 Friday trading.
Follow USA TODAY reporter Kevin McCoy on Twitter: @kmccoynyc.