Legal Help for KV Pharmaceutical Investors
Mark & Associates, P.C. is investigating the possibility of filing a derivative shareholder suit on behalf of KV Pharmaceutical Co. (stock symbols KV-A and KV-B) shareholders who suffered severe financial losses when the company's shares collapsed last year. Mark & Associates, P.C. is offering free investor case evaluations for all current and former KV Pharmaceutical Co. shareholders to see if they may qualify for compensation. Contact Mark & Associates, P.C. today by calling 1-866-50-RIGHTS (1-866-507-4448) or completing the case inquiry form on this page.
Mark & Associates, P.C. believes that shareholders may have rights to seek damages against KV Pharmaceutical for mishandling the company, resulting in huge losses for investors. At Mark & Associates, P.C., we are dedicated to helping defrauded investors achieve the financial compensation to which they are entitled.
Grounds for Shareholders Derivative Suit
It is believed that KV Pharmaceutical engaged in sloppy manufacturing of its drugs, resulting in dangerously defective pills being shipped to patients. Some of these pills contained potentially deadly double-doses of medications for heart patients suffering from irregular heartbeats and low blood pressure.
The management of KV Pharmaceutical has also been criticized for failing to recall the company's unsafe drug products in a timely fashion. A lawsuit could allege that the company's board of directors failed to oversee and implement adequate internal controls, allowing company manufacturing facilities to fail to comply with federal regulations, including FDA requirements and guidelines, generally referred to as current "Good Manufacturing Practices."
It is also believed that KV Pharmaceutical failed to write off at least $24 million in inventories of discontinued products which were seized by the U.S. Attorney for the Eastern District of Missouri due to defendants' violation of FDA enforcement notices.
These alleged examples of mismanagement by officials at KV Pharmaceutical critically damaged the company both financially and in reputation.
Which Shareholders Qualify?
To qualify for the shareholder derivative lawsuit currently under consideration, a shareholder must have:
- Initially purchased his or her shares sometime prior to June 2008
- Must be a continuous holder since June 2008, and
- Must continue to hold shares through resolution of the litigation
FDA Recalls Announced
On November 7, 2008, ETHEX Corp., a marketing subsidiary fully owned by KV Pharmaceutical, and the FDA announced that nine lots of generic drugs shipped before May 22, 2008 were being recalled due to concerns about the safety of the drugs.
FDA and company officials said the recalled lots of drugs for the treatment of irregular heartbeat and low blood pressure might contain oversized tablets containing potentially life-threatening doses of active ingredients.
The following KV Pharmaceutical drugs were ordered recalled:
- Propafenone HCl
- Isosorbide Mononitrate
- Morphine sulfate
- Dextroamphetamine sulfate
Call Today for Free Legal Consultation
If you are a current or former KV Pharmaceutical (KV-A or KV-B) shareholder you may have valuable legal rights. The company may have engaged in illegal, irresponsible, and unprofessional conduct, leading to the sudden and dramatic loss in stock price. The experienced investors' rights attorneys at Mark & Associates, P.C can help. Contact us today for a complimentary, no-obligation review of your possible case by calling 1-866-50-RIGHTS (1-866-507-4448) or completing the case inquiry form on this page.
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