ATNM Investors Beware: Class Action Lawsuit Filed Against Actinium Pharmaceuticals for Misleading Data

ATNM Investors Beware: Class Action Lawsuit Filed Against Actinium Pharmaceuticals for Misleading Data

Are you an investor in Actinium Pharmaceuticals (ATNM)? If so, it’s crucial to be aware of a recently filed class action lawsuit alleging that the company disseminated misleading data, potentially impacting your investment. This blog post will delve into the details of the lawsuit, explain what it means for investors, and provide guidance on how to navigate this complex situation.

The Case Against Actinium Pharmaceuticals

Several law firms have announced the filing of a securities class action lawsuit against Actinium Pharmaceuticals, Inc. (NYSE American: ATNM). The lawsuit is filed in the United States District Court for the Southern District of New York. The class action alleges violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5, targeting materially false and misleading statements made by Actinium and certain of its officers and/or directors.

The core of the allegation revolves around Actinium’s Biologics License Application (BLA) for Iomab-B, a targeted radiotherapy intended to treat patients with relapsed or refractory acute myeloid leukemia (r/r AML). The suit claims that Actinium presented data from its Phase 3 Sierra trial in a misleading manner, specifically:

  • Overstating the Significance of Complete Remission Data: The company allegedly emphasized the positive Durable Complete Remission (DCR) data from the Sierra Trial while downplaying the study’s failure to achieve statistically significant or clinically meaningful Overall Survival (OS) data.
  • Misleading Statements Regarding FDA Approval: Actinium purportedly misled investors into believing that the FDA had essentially pre-approved the design of the Sierra Trial, implying that the poor Overall Survival data wouldn’t impede BLA approval.

According to the complaints, the truth began to emerge on August 5, 2024, when Actinium announced that the FDA had determined that the Sierra trial data was insufficient to support the BLA filing for Iomab-B and that an additional clinical study would be required. Following this announcement, Actinium’s stock price plummeted, causing significant losses for investors. On August 5, 2024, Actinium’s stock price fell $3.69 per share, or nearly 60%, to close at $2.48 per share.

Class Period and Lead Plaintiff Deadline

The class action lawsuit covers investors who purchased or acquired Actinium securities between October 31, 2022, and August 2, 2024 (the “Class Period”).

The deadline to apply to be a lead plaintiff is fast approaching, with most firms setting the deadline on May 26 or May 27, 2025.

What This Means for ATNM Investors

If you purchased Actinium securities during the Class Period, you are potentially a member of the “Class” and may be entitled to compensation. Here’s what you should consider:

  1. Seek Legal Counsel: It is advisable to consult with a securities litigation attorney to understand your rights and options. Many law firms are actively investigating and litigating this case, and they can provide guidance on your specific situation.
  2. Understand the Role of Lead Plaintiff: The lead plaintiff is a representative party appointed by the court to act on behalf of the other class members in directing the litigation. While serving as lead plaintiff isn’t necessary to participate in any potential recovery, it involves a more active role in the case.
  3. No Need to Act Immediately: You do not need to take any immediate action to preserve your rights. If a settlement or judgment is reached, you may be eligible to receive compensation even if you do not actively participate in the lawsuit.
  4. Monitor the Case: Stay informed about the progress of the lawsuit by following updates from the court or your attorney.

Legal Concepts at Play

This case involves several key legal concepts relevant to securities litigation:

  • Securities Fraud: The core allegation is that Actinium violated federal securities laws by making false and misleading statements, thereby artificially inflating the company’s stock price.
  • Material Misstatements: For a statement to be actionable under securities laws, it must be “material,” meaning that a reasonable investor would consider it important in making investment decisions.
  • Scienter: Plaintiffs must prove that the defendants acted with “scienter,” meaning they had the intent to deceive, manipulate, or defraud investors.
  • Class Action: A class action is a lawsuit in which a group of people with similar claims collectively bring a suit against a defendant. This allows for a more efficient resolution of disputes where many individuals have been harmed by the same conduct.

How to Take Action

Several law firms have announced their involvement in this case and are actively seeking to represent investors. These firms typically work on a contingency fee basis, meaning you don’t pay out-of-pocket fees unless they recover compensation on your behalf.

Some of the law firms that have announced the class action lawsuit include:

  • Scott+Scott Attorneys at Law LLP
  • The Rosen Law Firm
  • The Gross Law Firm
  • Pomerantz LLP
  • Bronstein, Gewirtz & Grossman, LLC
  • The Schall Law Firm
  • Levi & Korsinsky, LLP
  • Robbins LLP
  • Bragar Eagel & Squire, P.C.
  • Holzer & Holzer, LLC

Final Thoughts

The class action lawsuit against Actinium Pharmaceuticals is a significant development for investors who may have suffered losses due to the company’s alleged misleading statements. By understanding the details of the case, your rights as an investor, and the steps you can take to protect your interests, you can navigate this situation with greater confidence. Remember to consult with a qualified attorney to discuss your specific circumstances and make informed decisions about your legal options.