Geron Faces Investigation Regarding Imetelstat Disclosure
Schubert Jonckheer & Kolbe LLP today launched an investigation into potential derivative claims on behalf of shareholders of Geron Corporation (NASDAQ: GERN), related to the company’s statements regarding its anti-cancer product, imetelstat and adverse side effects observed in clinical trials.
The investigation concerns whether the company’s officers and directors breached their fiduciary duties by making misleading statements regarding imetelstat clinical trials between June 16, 2013 and March 11, 2014. During this period, Geron’s officers and directors may have known that patients treated with imetelstat exhibited liver function abnormalities putting them at risk for chronic liver injury but nonetheless made statements to the public that imetelstat was safe and well-tolerated. When the Food and Drug Administration (FDA) put a hold on imetelstat clinical trials on March 11, 2014 due to these liver toxicity concerns, Geron’s stock plummeted 62%.
Geron’s officers’ and directors’ statements may have exposed the company to significant civil liability. The company currently faces a class action lawsuit alleging that Geron knew about imetelstat’s harmful side effects and concealed these facts from the public. On April 10, 2015, U.S. District Judge Charles R. Breyer denied, in part, Geron’s motion to dismiss the class action, which may expose the company to millions of dollars in damages, as well as investigatory and litigation costs related to defending the action.
If you currently own stock in Geron Corporation and wish to obtain additional information about our investigation and your legal rights, please fill out our form (at right) or contact Dustin Schubert either via email at email@example.com or by phone at 415-788-4220.