SOURCE: Stull, Stull & Brody

March 30, 2006 16:30 ET

Stull, Stull & Brody Announces Class Action Against Northfield Laboratories, Inc.

NEW YORK,NY -- (MARKET WIRE) -- March 30, 2006 -- Notice is hereby given that a class action has been commenced in the United States District Court for the Northern District of Illinois on behalf of all persons who purchased or otherwise acquired the publicly traded securities of Northfield Laboratories, Inc. (NASDAQ: NFLD) ("Northfield" or the "Company") between February 20, 2004 and February 21, 2006, inclusive (the "Class Period"). Also included are all those who purchased shares in the secondary offering in February 2005.

Stull, Stull & Brody has substantial experience representing employees who suffered losses from purchases of their employer's stock in their 401(k) plans. If you bought Northfield Laboratories' stock through your Northfield Laboratories retirement account and have information or would like to learn more about these claims, please contact us.

The Complaint alleges that defendants violated federal securities laws by issuing a series of materially false statements regarding the safety of PolyHeme, a blood substitute. On February 22, 2006, The Wall Street Journal reported that data from defendants' ANH clinical trial revealed that ten of 81 patients who received PolyHeme suffered a heart attack within seven days and two of those died. The data further showed defendants that none of the 71 patients in the ANH clinical trial who received real blood were found to have suffered a heart attack. After receiving this data, defendants shut down the ANH clinical study in 2000 and kept the highly adverse trial results secret.

In a February 22, 2006 press release responding to The Wall Street Journal article, defendants did not dispute the data concerning the patient heart attacks and deaths from the ANH clinical trial and admitted that they did not publish the full data upon the closing of the ANH trial. On this news, Northfield's stock fell to a close of $11.64 per share. On February 24, 2006, United States Senator Charles E. Grassley, Chairman of the U.S. Senate Finance Committee announced that he had launched an inquiry into the matter.

If you are a member of the class, you may request that the Court appoint you as lead plaintiff by no later than May 19, 2006. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Stull, Stull & Brody, or other counsel of your choice, to serve as your counsel in this action. Stull, Stull & Brody has litigated many class actions for violations of securities laws in federal courts over the past 30 years and has obtained court approval of substantial settlements on numerous occasions. Stull, Stull & Brody maintains offices in both New York and Los Angeles.

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Tzivia Brody, Esq. at Stull, Stull & Brody by e-mail at SSBNY@aol.com, by calling toll-free 1-800-337-4983, or by fax at 212-490-2022, or by writing to Stull, Stull & Brody, 6 East 45th Street, New York, NY 10017. You can also visit our website at www.ssbny.com.

Contact Information

  • Contact:
    Tzivia Brody, Esq.
    Email Contact
    1-800-337-4983
    fax at 212-490-2022