SAN DIEGO, May 6 – LAWFUEL – The Law News Network — Scott + Scott, LLC filed a class action securities fraud case on April 1, 2005 on behalf of shareholders in the United States District Court for the Western District of Washington. Those who
purchased publicly traded securities or otherwise acquired securities in Cell
Therapeutics, Inc. (the “Company”) (Nasdaq: CTIC) from June 7, 2004 to March
4, 2005 (the current “Class Period”) are considered to be purchasers of
securities during the time which the alleged fraud took place. Any shareholder
may make inquiry of this case. On March 7, 2005, the Company announced that
its study of a product had missed its primary goal and the stock, which had
traded as high as $10.49 during the Class Period, fell almost 50% to close at
$5.25 per share on volume of 33 million per share. The stock is currently
trading at $3.57 per share. To learn more about this case, you can call Neil
Rothstein directly at 619/251-0887.
According to its website, Cell Therapeutics, Inc. develops, acquires and
commercializes treatments for cancer. The research and inlicensing activities
are focused on identifying ways to treat cancer. The Company markets TRISENOX
(arsenic trioxide) for the treatment of relapsed or refractory acute
promyelocytic leukemia (APL) in the United States and in Europe. It is
developing XYOTAX (paclitaxel poliglumex) for the potential treatment of non-
small cell lung cancer (NSCLC) and ovarian cancer. The Company has completed
enrollment of more than 1,700 patients in three pivotal Phase III trials of
XYOTAX, known as STELLAR 2, 3 and 4, for the treatment of NSCLC. It also
develops pixantrone, a compound in the class of drugs known as anthracyclines,
for the potential treatment of non-Hodgkin’s lymphoma (NHL) and has several
clinical trials ongoing, including a pivotal Phase III trial for the potential
treatment of relapsed aggressive NHL.
PROCEDURE: A plaintiff has 60 days from March 10, 2005 to move for
appointment as lead plaintiff. During that time, a plaintiff has the
opportunity to join Scott + Scott’s Cell Therapeutics client/shareholder list
which permits those clients/shareholders greater access to information and
discussion about the case and to receive the benefit of continued access to
these attorneys as the case moves forward. If you would like to view a copy of
this complaint and fill out the necessary paperwork, please contact attorney
Neil Rothstein at nrothstein@scott-scott.com. Or you can call our Connecticut
office at 800/404-7770 or in California at 800/332-2259. You can dial direct
in California at 619/233-4565 or reach Mr. Rothstein at 619/251-0887. Scott +
Scott, LLC has its headquarters at 108 Norwich Avenue, Colchester, CT 06415;
phone: 860/537-3818; fax: 860/537-4432.
ALLEGED FRAUD: It is alleged that the Company made false and misleading
statements about the success of the clinical trials for a drug to be used for
treatment of a type of lung cancer. The true facts were allegedly concealed
from the investors, but known to the defendants about this drug, XYOTAX.
Defendants were allegedly claiming this drug would meet its endpoint goal, but
it was known by defendants that it would not; the Company’s untrue statements
that it would conduct “pre-launch” activities or submit a new application for
this drug were highly overstated and in fact, the veracity of these statements
is questionable; finally, the success rate for those using this drug were not
superior to those taking another medication used for the same purpose.
INSIDER TRADING: Prior to the drop in the stock, the defendants sold more
than $18.4 million worth of the shares in a private placement.
Scott + Scott, LLC has litigated or is the process of litigating and
working on many pharmaceutical cases including: Rhodia, Forest Laboratories,
Merck, Pfizer, ImClone, GlaxoSmithKline and more.
You can visit our website, under reconstruction, to learn more about the
firm: http://www.scott-scott.com.
Scott + Scott, LLC is a firm that devotes most of its practice to
securities, antitrust and employment benefits litigation. The firm is
nationally recognized with offices in Colchester, Connecticut; San Diego,
California; and Chagrin Falls, Ohio. For more information about the lawsuit or
this press release, please e-mail nrothstein@scott-scott.com . You can dial
direct in California at 619-233-4565 or toll-free as stated above. Scott +
Scott dedicates itself to client communication and satisfaction. It represents
individuals, foundations, corporations and others nationwide in securities,
antitrust and employee litigation. Take the time to find out more about the
firm, its practice and other cases. If you wish to discuss this action with an
attorney or have any questions concerning this notice, your rights or any
matter within our expertise, please contact attorney Neil Rothstein as stated
above or by cell: 619/251-0887. Scott + Scott, LLC is located at 108 Norwich
Avenue, Colchester, CT 06415; phone: 860/537-3818; fax: 860/537-4432. This
release is issued in accordance with the applicable U.S. federal law.
Web Site: http://www.scott-scott.com
