SOURCE: Izard Nobel LLP

December 10, 2010 14:10 ET

Izard Nobel LLP Announces Class Action Lawsuit Against Mela Sciences, Inc.

WEST HARTFORD, CT--(Marketwire - December 10, 2010) - The law firm of Izard Nobel LLP, which has significant experience representing investors in prosecuting claims of securities fraud, announces that a lawsuit seeking class action status has been filed in the United States District Court for the Southern District of New York on behalf of purchasers of the securities of Mela Sciences, Inc. ("MELA" or the "Company") (NASDAQ: MELA) between February 13, 2009 through November 16, 2010, inclusive (the "Class Period"). 

The Complaint charges MELA and certain of its officers and directors with violations of federal securities laws.  Specifically, Defendants made misrepresentations and omissions about the Company's clinical studies regarding the efficacy and effectiveness of MELAs' primary product, a medical device called MelaFind, used to diagnose certain suspected melanoma lesions. While the share price of MELA common stock was artificially inflated and defendants were in possession of material adverse non-public information, defendants sold almost $79 million worth of shares.

Finally, on November 16, 2010, it was reported that MelaFind "could cause harm because of the potential for misdiagnosis," and that "FDA staff pointed to numerous problems with MELA's study of the device, called MelaFind, including a significant lack of data, and urged a new clinical trial." On this news, MELA's stock price plummeted approximately 54% or $3.45 per share, to close at $2.92 per share.

If you are a member of the class, you may, no later than January 21, 2011, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a class member that acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

While Izard Nobel LLP has not filed a lawsuit against the defendants, to view a copy of the Complaint initiating the class action or for more information about the case, and your rights, visit: www.izardnobel.com/mela/, or contact Izard Nobel LLP toll-free: (800) 797-5499, or by e-mail: firm@izardnobel.com. For more information about class action cases in general, please visit our website: www.izardnobel.com.

Visit us on Twitter at: http://twitter.com/Izard_Nobel

Contact Information