Johnson & Johnson investor files lawsuit alleging securities laws violations
Lawsuit by investor of Johnson & Johnson (NYSE:JNJ) over alleged violations of securities laws in connection with product recalls - Deadline: Nov. 19 - JNJ investors should contact the Shareholders Foundation at [email protected]
PRLog (Press Release) - Sep 22, 2010 - An investor in investor of Johnson & Johnson (NYSE:JNJ) filed a lawsuit in the United States District Court for the District of New Jersey against Johnson & Johnson and others over alleged violations of securities laws in connection with its Tylenol and Motrin product recall in 2008.
If you purchased or otherwise acquired Johnson & Johnson (NYSE:JNJ) securities between October 14, 2008 and July 21, 2010, you have certain options and there arte strict and short deadlines running. Deadline: November 19, 2010. Those JNJ stockholders and current long term JNJ investors including also those who purchased JNJ shares prior to October 2008 and continue to presently hold those shares, should contact the Shareholders Foundation at [email protected] or call +1(858) 779 - 1554.
Johnson & Johnson, located in New Brunswick, NJ, is engaged in the research and development, manufacture and sale of a range of products in the health care field. Johnson & Johnson's total revenue increased from $53.324billion in 2006 to $61.897billion in 2009. Its Net Income went from $11.053billion in 2006 to $12.266billion in 2009. According to the complaint the plaintiff alleges that Johnson & Johnson and certain of its officers and directors violated the Securities Exchange Act of 1934. More specifically, the complaint alleges that Johnson & Johnson failed to disclose and misrepresented the following material adverse facts which were known to defendants or recklessly disregarded by them. The plaintiff alleges that starting in April of 2008, defendants received numerous consumer complaints that Tylenol products made at a manufacturing facility in Las Piedras, Puerto Rico exhibited a "musty" odor; Despite being aware of these complaints, defendants failed to conduct an adequate investigation and failed to notify the U.S. Food and Drug Administration ("FDA") as required; Defendants failed to take corrective action when foreign materials and contamination were found in a manufacturing facility in Fort Washington, Pennsylvania from May 2009 to April 2010. Similarly, defendants ignored 46 separate complaints of foreign materials in products made at that facility from June 2009 to April 2010; and (3) in late 2008, defendants learned of potential problems with one of its Motrin products. Rather than issue a public recall, defendants sent contractors out to stores to buy the product back and told the contractors not to mention any recall. After the FDA learned of this "phantom recall," it pressured defendants to publicly recall the products, so the lawsuit.
The plaintiff alleges that as a result of the blatant, systemic, and repeated failure of defendants to maintain proper manufacturing practices at their facilities, defendants have been forced to issue over eight separate recalls including dozens of products and hundreds of millions of individual packages. Further, so the complaint, defendants are now under investigation by the U.S. House of Representatives, the U.S. Senate, the U.S. Attorney's Office for the Eastern District of Pennsylvania, and multiple state Attorneys General offices. Shares of Johnson & Johnson (Public, NYSE:JNJ) recently traded at $61.94 per share, down from its current 52weekHigh of $66.20 per share. JNJ shares traded as high as $71.55 per share during 2007.
Those who purchased or otherwise acquired Johnson & Johnson (Public, NYSE:JNJ) securities between October 14, 2008 and July 21, 2010, have certain options and there arte strict and short deadlines running. Deadline: November 19, 2010. Those JNJ stockholders and current long term JNJ investors including also those who purchased JNJ shares prior to October 2008 and continue to presently hold those shares, should contact the Shareholders Foundation at [email protected] or call +1(858) 779 - 1554.