Haeggquist & Eck investigates breach of fiduciary duties by Lannett officers and directors related to criminal investigation into potential price collusion
San Diego – (Businesswire): Haeggquist & Eck, LLP, a leading shareholder rights litigation firm, is investigating whether certain directors and officers of Lannett Company, Inc. (“Lannett” or the “Company”) (NYSE: LCI) breached their fiduciary duties to the Company and its shareholders.
Lannett is a generic drug maker that grew quickly starting in 2013, largely due to big price increases. In fact, the price of its generic digoxin, a life-saving heart failure drug, rose 857% from April 2013 to April 2015.
On July 16, 2014, Lannett disclosed that it had received interrogatories and a subpoena from the State of Connecticut Office of the Attorney General concerning its investigation into the pricing of Digoxin, one of Lannett’s generic drugs. By November 3, 2016, media outlets reported that the U.S. Department of Justice (“DOJ”) was considering filing criminal charges against Lannett and several other generic pharmaceutical companies by the end of 2016 for unlawfully colluding to fix generic drug prices.
On January 5, 2017, the DOJ filed a motion to intervene in an antitrust action captioned In re Generic Digoxin and Doxycycline Antitrust Litigation, in which Lannett, among others, is named as a defendant. In its motion, the DOJ asserted that “this litigation shares common questions of law and fact with an ongoing federal criminal investigation. Continued litigation of this consolidated action is likely to result in the disclosure of information that will harm the ongoing criminal antitrust investigation.” On January 6, 2017, the DOJ’s uncontested motion to intervene was granted.
What You Can Do
If you are an Lannett shareholder, you may have legal claims against Lannett’s directors and officers. If you wish to discuss this investigation, or have questions about this notice or your legal rights, please contact attorney Amber Eck. There is no cost or obligation to you.
Haeggquist & Eck, LLP is a nationally recognized leader in shareholder rights law. The firm represents individual investors in shareholder derivative lawsuits, and members of the firm have helped shareholders recover more than $1 billion of value for themselves and the companies in which they have invested.
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