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Case Status:    DISMISSED    
On or around 06/17/2014 (Court's order of dismissal)

Filing Date: May 10, 2013

According to the law firm press release, Ventrus is a development stage pharmaceutical company which is focused on late-stage prescription drugs for the treatment of gastrointestinal disorders, specifically hemorrhoids, anal fissures, and fecal incontinence. Ventrus' lead products are topical treatments for hemorrhoids, which target a specific serotonin receptor.

The securities class action charges that, throughout the Class Period, the Company made false and/or misleading statements, as well as failed to disclose material adverse facts concerning the Company's lead product iferanserin (VEN 309) ("VEN 309"). The Company described VEN 309 as a new chemical entity for the topical treatment of symptomatic internal hemorrhoids. The Company stated that in seven clinical studies between 1993 and 2003, VEN 309 demonstrated good tolerability and no severe adverse events while showing statistically significant improvements in bleeding, itchiness, and pain.

Specifically, during the Class Period the Company touted that it was in frequent and ongoing communications with the FDA, that clinical end points for the VEN 309 trial had been agreed to by the FDA, and that the prior results from Phase II trials of VEN 309 demonstrated the product's clinical efficacy. The Company represented its prior Phase IIb studies in Germany as evidence of VEN 309's efficacy and as support for their claims that FDA approval would be achieved. These false and misleading statements artificially inflated, maintained, and increased the price of Ventrus' common stock, reaching a high of $20.25 during the Class Period.

On June 25, 2012, Ventrus shocked the market when it issued a press release announcing that VEN 309 failed its Phase III trial before the FDA, and that the Company would suddenly abandon further development of VEN 309, including any further attempt to obtain FDA approval. In response to this news, the price of Ventrus common stock plummeted over 50% -- to $5.02 per share on June 25, 2012.

On June 19, 2013, an Amended Class Action Complaint was filed by the plaintiffs against the defendants.

On July 23,2013, the motion was granted appointing Lead Plaintiff for the Class and Kahn, Swick, & Foti, LLC was appointed Lead Counsel.

On September 16, 2013, a Consolidated Class Action Amended Complaint was filed by the Lead plaintiffs against the defendants.

On May 5, 2014, the Court issued a Decision and Order Granting the Defendants’ Motion to Dismiss.

On May 5, 2014, the Clerk’s Judgment on the Defendants' Motion to Dismiss was granted and the Plaintiffs' complaint was dismissed with prejudice. The Clerk of Court was directed to close the case.

COMPANY INFORMATION:

Sector:
Industry:
Headquarters: United States

SECURITIES INFORMATION:

Ticker Symbol: VTUS
Company Market: NASDAQ
Market Status: Public (Listed)

About the Company & Securities Data


"Company" information provides the industry and sector classification and headquarters state for the primary company-defendant in the litigation. In general, "Securities" information provides the ticker symbol, market, and market status for the underlying securities at issue in the litigation.

In most cases, the primary company-defendant actually issued the securities that are the subject of the litigation, and the securities information and company information relate to the same entity. In a small subset of cases, however, the primary company-defendant is not the issuer (for example, cases against third party brokers/dealers), and the securities information and company information do not relate to the same entity.
COURT: S.D. New York
DOCKET #: 13-CV-03119
JUDGE: Hon. Richard M. Berman
DATE FILED: 05/10/2013
CLASS PERIOD START: 12/17/2010
CLASS PERIOD END: 06/25/2012
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. Scott + Scott LLP (NY)
    405 Lexington Avenue, 40th Floor, The Chrysler Building, Scott + Scott LLP (NY), NY 10174
    (212) 223-6444 (212) 223-6444 ·
  2. Zeldes Haeggquist & Eck, LLP
    625 Broadway, Suite 1000, Zeldes Haeggquist & Eck, LLP, CA 92101
    619.378.0442 619.342.7878 ·
No Document Title Filing Date
COURT: S.D. New York
DOCKET #: 13-CV-03119
JUDGE: Hon. Richard M. Berman
DATE FILED: 06/19/2013
CLASS PERIOD START: 12/17/2010
CLASS PERIOD END: 06/25/2012
PLAINTIFF FIRMS NAMED IN COMPLAINT:
  1. David R. Scott (Scott + Scott)
    108 Norwich Avenue; P.O. Box 192, David R. Scott (Scott + Scott), CT 06415
    860.537.5537 860.537.5537 ·
  2. Scott + Scott LLP (NY)
    405 Lexington Avenue, 40th Floor, The Chrysler Building, Scott + Scott LLP (NY), NY 10174
    (212) 223-6444 (212) 223-6444 ·
  3. Zeldes Haeggquist & Eck, LLP
    625 Broadway, Suite 1000, Zeldes Haeggquist & Eck, LLP, CA 92101
    619.378.0442 619.342.7878 ·
No Document Title Filing Date