Investor Says K-V Lied About Pregnancy Drug's Prospects

Law360, New York (October 20, 2011, 5:51 PM EDT) -- A K-V Pharmaceutical Co. shareholder filed a putative class action in Missouri on Wednesday claiming the drugmaker lied to investors about prospects for pregnancy drug Makena, artificially inflating the stock price that later plummeted when demand for the drug fizzled.

Frank Julianello claims the company violated the anti-fraud provisions of federal securities laws by promoting to investors its new Makena Care Connection program while at the same time increasing the price of the drug so high that physicians refused to prescribe it.

Julianello says K-V pinned...
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