Akorn shareholder alleges company violated Securities Exchange Act with proxy statement

By Lhalie Castillo | Jul 3, 2017

BATON ROUGE – An Akorn shareholder has filed a class-action lawsuit against Akorn Inc. over allegations that it filed a misleading proxy statement.

Sean Harris, individually and on behalf of all others similarly situated, filed a complaint on June 14 in the U.S. District Court for the Middle District of Louisiana against Akorn Inc., John N. Kapoor, Ronald M. Johnson, Steven J. Meyer, Brian Tambi, et al alleging that the company and board members violated Sections 14(a) and 20(a) of the Securities Exchange Act.

According to the complaint, the plaintiff alleges that in April 24, the board approved to enter into an agreement and plan of merger of Akorn and Fresenius Kabi AG. The plaintiff holds Akorn Inc., Kapoor, Johnson, Meyer, Tambi, et al. responsible because the defendants allegedly filed a materially incomplete and false preliminary proxy statement and failed to disclose material information regarding Akorn's financial projections.

The plaintiff requests a trial by jury and seeks an order declaring this action as a class action, enjoining defendants from holding the shareholder vote on the proposed merger unless and until the material information is disclosed to shareholders, award for attorneys' fees, costs and disbursements and such other and further relief. He is represented by Lewis Kahn of Kahn Swick & Foti LLC in Madisonville and James M. Wilson Jr. and Nadeem Faruqi of Faruqi & Faruqi LLP in New York.

U.S. District Court for the Middle District of Louisiana case number 3:17-cv-00373

Want to get notified whenever we write about any of these organizations ?

Sign-up Next time we write about any of these organizations, we'll email you a link to the story. You may edit your settings or unsubscribe at any time.

Organizations in this Story

Akorn, Incorporated Faruqi & Faruqi LLP Kahn Swick and Foti LLC U.S. District Court for the Middle District of Louisiana

More News

The Record Network