Corcept Therapeutics Incorporated (CORT) Accused of Illicit Sales Practices
In 2012, Corcept Therapeutics Incorporated (CORT) launched its prescription medicine Korlym, which served as Corcept’s only revenue-generating product. Due to the limited number of potential Korlym users, Corcept’s officers and directors improperly paid doctors to prescribe Korlym for non-approved applications and disguised these bribes as speaking fees for its speakers bureau program.
Corcept’s ruse was revealed on January 25, 2019, when Southern Investigative Reporting Foundation published a report alleging that Corcpet paid doctors to prescribe Korlym for off-label uses. In addition to this wrongdoing, on February 5, 2019, Blue Orca Capital published a report alleging that the specialty pharmacy Corcept switched to for processing Korlym orders was actually an undisclosed related party that Corcept was using to artificially boost sales and hide losses. As result of these revelations, Corcept’s public statements appeared to be materially false and misleading, damaging the Company’s credibility. Now, Corcept is a defendant in a securities class action lawsuit, opening the Company up to future damages.
Corcept Therapeutics Incorporated (CORT) shareholders have legal options. If you own shares of Corcept Therapeutics Incorporated, contact us to learn more about your rights.
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