Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in 22nd Century Group (NYSE:XXII) in connection to alleged violations of securities laws by XXII. Fitapelli Kurta is interested in hearing from investors who have complaints regarding investments made in 22nd Century Group between February 14, 2018 and December 19, 2018.
The class action complaint specifically alleges that during the period in question, XXII provided false and/or misleading material information and/or failed to disclose adverse material information to the public, namely: that the company’s stock was subject to manipulation as a result of paid stock promotions; that were this activity to come to light, the company would be exposed to enhanced scrutiny by regulatory authorities such as the Securities and Exchange Commission; and that consequently the company’s statements to the public during the relevant period were false and misleading and/or had no reasonable basis. The complaint alleges that when true facts emerged in the form of an October 25th, 2018 article by Seeking Alpha, alleging that the company was under investigation by the SEC, investors suffered losses as the company’s stock declined 4.3%, closing at $2.45/share on that day.
According to the company’s website, 22nd Century Group is a biotechnology whose mission is “to reduce the harm caused by smoking.” The company describes its long-term focus as researching, developing, licensing, manufacturing and engaging in the global sale and distribution of tobacco products with up to 97% nicotine than conventional tobacco. “The applications for this technology are extraordinary,” the company says, and “in independent clinical studies, our Very Low Nicotine Content (VLNC) tobacco has demonstrated remarkable efficacy as a smoking cessation aid.” The company describes its primary activities as the licensing of its technology, proprietary tobaccos and trademarks; the research and development of other “potentially reduced-risk or modified-risk tobacco products”; the contract manufacturing of other companies’ branded tobacco products; the production of research cigarettes for the National Institute of Drug Abuse; and more. The company trades on the New York Stock Exchange under the symbol XXII.
A class action lawsuit has already been filed in connection with 22nd Century Group. If you wish to serve as lead plaintiff in the XXII lawsuit, you must move the Court no later than March 22, 2019. If you wish to join the litigation, please contact Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.