Robbins LLP: Alexion Pharmaceuticals, Inc. (ALXN) Misled Shareholders According to a Recently Filed Lawsuit
Robbins LLP announces that a shareholder derivative lawsuit was filed on behalf of Alexion Pharmaceuticals, Inc. (NasdaqGS: ALXN). The complaint is brought against certain of Alexion’s officers and directors for alleged breaches of fiduciary duties, unjust enrichment, abuse of control, gross mismanagement, waste of corporate assets, and violations of the Securities Exchange Act of 1934. Alexion, a biopharmaceutical company, develops and commercializes life-transforming therapeutic products. Alexion’s lead product is known as Soliris, which is designed to treat paroxysmal nocturnal hemoglobinuria, a life-threatening genetic blood disorder, and atypical hemolytic uremic syndrome, a life-threatening genetic disease.
Alexion Accused of Engaging in Schemes to Boost Sales of Its Product
According to the complaint, Alexion officials engaged in several unethical and potentially illegal schemes in order to sell Soliris to a limited pool of patients. For example, company management placed immense pressure on salespeople to sell Soliris and encouraged them to use extreme methods to secure patient orders of Soliris. These tactics included threatening doctors that their patient could die if Soliris was not prescribed, even though there was insufficient evidence to indicate that use of Soliris lowers or affects a patient’s risk of death. In addition, senior management failed to enforce compliance with the company’s policies and procedures, which contributed to inappropriate business conduct that in turn caused the company’s stock price to become artificially inflated. Certain Alexion officials also profited greatly from their insider sales of company stock, collectively selling over $356 million worth of stock. As a result of Alexion officials’ misconduct, Alexion has been subject to massive financial losses, investigations by the U.S. Securities and Exchange Commission, the U.S. Attorney’s Office for the District of Massachusetts, the Department of Justice, the U.S. Department of Health and Human Services’ Office of Inspector General, and Brazilian authorities, as well as a securities fraud class action lawsuit.
Alexion Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leonid Kandinov at (800) 350-6003 or you can complete the form below and we will contact you directly.