NEW YORK, July 27, 2018 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C. announces that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of New York on behalf of all persons or entities who purchased or otherwise acquired Rockwell Medical, Inc. (NASDAQ: RMTI) securities between March 16, 2018 and June 26, 2018 (the “Class Period”). Investors have until September 25, 2018 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
According to the lawsuit, throughout the Class Period Defendants’ made false and/or misleading statements and/or failed to disclose that: (1) Rockwell was aware that the Centers for Medicare and Medicaid Services will not pursue Rockwell’s proposal for separate reimbursement for Triferic; (2) the estimated reserves in Rockwell’s Form 10-Q for the quarter ended March 31, 2018 are misstated; (3) there was a material weakness in Rockwell’s internal control over financial reporting; (4) consequently, Rockwell’s internal control over financial reporting was ineffective during the Class Period; (5) Robert L. Chioini, former Chief Executive Officer of Rockwell, withheld material information regarding Triferic from Rockwell’s auditor, corporate counsel and five independent directors of Rockwell's Board; and (6) as a result, Defendants’ statements about Rockwell’s business, operations and prospects were materially false and misleading and/or lacked reasonable bases at all relevant times. When the true details entered the market, the lawsuit claims that investors suffered damages.
On May 22, 2018, after the market had closed, Rockwell Medical announced that the Company’s President and Chief Executive Officer, Robert Chioini, had been terminated from his positions, effective immediately.
However, on May 23, 2018, a letter was published by the Company, signed by Mr. Chioini, explaining that he had called an emergency Board meeting for the purpose of discussing alleged breaches of fiduciary duties and other possible violations of securities laws by various directors the Company. The letter further asserted that those directors whose conduct was the subject of the alleged breaches of fiduciary duties voted to fire Mr. Chioini.
Following this news, Nasdaq suspended trading of Rockwell Medical securities.
If you purchased Rockwell securities during the Class Period or continue to hold shares purchased before the Class Period, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Brandon Walker or Melissa Fortunato by email at investigations@bespc.com, or telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
Bragar Eagel & Squire, P.C. is a New York-based law firm concentrating in commercial and securities litigation. For additional information concerning the Rockwell Medical, Inc. lawsuit, please go to https://bespc.com/rmti/. For additional information about Bragar Eagel & Squire, P.C. please go to www.bespc.com.
Contacts
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Melissa Fortunato, Esq.
(212) 355-4648
investigations@bespc.com
www.bespc.com