RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased Mallinckrodt plc (“Mallinckrodt” or the “Company”) (NYSE: MNK) between May 23, 2018 and August 1, 2018, inclusive (the “Class Period”).
If you purchased shares of Mallinckrodt and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
On May 1, 2019, The Wall Street Journal published an article titled, “Government to File Complaint After Mallinckrodt Unit Is Accused of Bribery to Drive Drug Sales.” The article asserts that Questcor, which Mallinckrodt acquired in 2014, “defrauded government health-care plans by illegally marketing H.P. Acthar Gel.” The article further states that the company “stands accused of paying doctors kickbacks through bribes, consulting agreements and speaking fees if they prescribed Acthar.”
Following this news, Mallinckrodt’s share price dropped more than 16%.
On May 21, 2019, Mallinckrodt’s share price dropped more than 25% after the company sued the U.S. Department of Health and Human Services over its decision to require the company to change the base rate average manufacturer price used to calculate Medicaid rebates for Acthar Gel. Mallinckrodt disclosed that failure to get the rate changed could reduce Acthar sales by 10%.