Lowey Dannenberg is investigating Allakos, Inc. (“Allakos” or the “Company”) (NASDAQ: ALLK) and certain of its officers and/or directors for potential violation of federal securities laws or other unlawful business practices in connection with Allakos’ development of AK002, a drug for the treatment of certain gastrointestinal diseases.
On December 18, 2019, Seligman Investments (“Seligman”), an investment management company, published a report in which it characterized Allakos as “A Suspect Biotech with a Phase 2 Farce, Incredulous Trial Investigators, and Warning Signs of Potential Fraud.” In the 215-page report, Seligman accused Allakos of having “buried the results for the two AK001 studies it conducted,” reporting trial results with “glaring omissions,” “cherry-picked measures,” and “statistical gimmicks and obfuscation,” and having engaged in “[f]lagrant nepotism in key clinical roles.”
Following the publication of the Seligman report, the price of Allakos’ shares fell $13.25 per share to close at $119.28 on December 18, 2019, representing a price drop of 10% on a single trading day. The sharp drop in the price of Company shares caused significant financial losses to investors.
If you are a shareholder of Allakos who suffered a loss, we encourage you to contact attorney Andrea Farah of Lowey Dannenberg at (914) 733-7256 or afarah@lowey.com to learn more about this investigation or to discuss your options. For more information, you can also visit the investigation page on our website, lowey.com/securities.
About Lowey Dannenberg
Lowey Dannenberg is a national firm representing institutional and individual investors, who suffered financial losses resulting from corporate fraud and malfeasance in violation of federal securities and antitrust laws. The firm has significant experience in prosecuting multi-million dollar lawsuits and has in the past recovered billions of dollars on behalf of investors.
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Contact:
Andrea Farah
Lowey Dannenberg P.C.
44 South Broadway, Suite 1100
White Plains, NY 10601
Tel: (914) 733-7256
Email: afarah@lowey.com