RADNOR, PA / ACCESSWIRE / September 5, 2022 / The law firm of Kessler Topaz Meltzer & Check, LLP(www.ktmc.com) informs investors that a securities class action lawsuit has been filed against Kiromic BioPharma, Inc. (“Kiromic”) (NASDAQ:KRBP). The action charges Kiromic with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. As a result of Kiromic’s materially misleading statements and omissions to the public, Kiromic investors have suffered significant losses.
essler Topaz is one of the world’s foremost advocates in protecting the public against corporate fraud and other wrongdoing. Our securities fraud litigators are regularly recognized as leaders in the field individually and our firm is both feared and respected among the defense bar and the insurance bar. We are proud to have recovered billions of dollars for our clients and the classes of shareholders we represent.
KIROMIC’S ALLEGED MISCONDUCT
In late June 2021, Kiromic conducted an initial public offering (IPO) which closed on July 2, 2021. At the time of the IPO, Kiromic presented itself as a target discovery and gene-editing company which utilized artificial intelligence to create immunotherapy products. Although Kiromic had no immunotherapy products on the market at the time, it had applications to begin human clinical trials for two new drug candidates, known as Investigational New Drug (IND) applications, pending with the FDA. The company’s public filings in connection with the IPO stated that Kiromic could commence clinical trials within thirty days of those IND applications unless the FDA imposed a clinical hold.
Kiromic, however, had received communications from the FDA on June 16 and 17, 2021, prior to the IPO, informing the company that the FDA was placing the IND applications for its two candidate products on clinical hold. The IPO documents failed to disclose this information, instead representing that clinical testing was expected to proceed in the third quarter of 2021. Clinical testing did not proceed in the third quarter of 2021, nor was it likely given the FDA’s imposition of a clinical hold.
On July 16, 2021, two weeks after the closing of Kiromic’s IPO, Kiromic issued a press release revealing that it had received “comments” from the FDA regarding its IND product, “ALEXIS.” Additionally, on August 13, 2021, Kiromic issued another press release wherein Kiromic made passing reference to “clinical hold issues” by the FDA regarding Kiromic’s IND products, but did not otherwise expand on what those issues were. Since the true details of Kiromic’s misrepresentations and omissions entered the market, the price and value of Kiromic’s stock has declined significantly.
WHAT CAN I DO?
Kiromic investors may, no later than October 4, 2022, seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLPor other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages Kiromic investors who have suffered significant losses to contact the firm directly to acquire more information.
CLICK HERE TO SIGN UP FOR THE CASE
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
Kessler Topaz Meltzer & Check, LLP
Jonathan Naji, Esq.
280 King of Prussia Road
Radnor, PA 19087
SOURCE: Kessler Topaz Meltzer & Check, LLP
This article was originally sourced by Baystreet.ca