Indivior PLC (INVVY) Indicted by Department of Justice for Illicit Nationwide Marketing Scheme

According to the complaint for alleged violations of the Securities Exchange Act of 1934 between March 10, 2015 and April 9, 2019, Indivior PLC (INVVY) attested to the accuracy of financial reporting and a fair review of the development and performance of the business, as well as the attendant opportunities and risks. It also repeatedly reaffirmed its compliance with various applicable laws and ethical behavior. However, in reality, Indivior and its executives had been engaged in an illicit nationwide scheme to increase prescriptions of Suboxone Film since 2010. In 2013, the Department of Justice (“DOJ”) initiated a U.S. federal criminal grand jury investigation. In 2019, the DOJ filed an indictment asserting criminal charges against Indivior in connection with its conduct in marketing Suboxone Film. The charges included one count of conspiracy to commit mail, wire, and health care fraud, one count of health care fraud, four counts of mail fraud, and twenty-two counts of wire fraud. The Indictment was rife with examples of misconduct by Indivior’s top executives. On this news, Indivior ADRs plummeted more than 66% to close at $2.30 per ADR on April 10, 2019.