WEST HAVEN, CONNECTICUT -- Tuesday, February 11th, 2014 -- NanoViricides, Inc. (NYSE MKT: NNVC) responded to a baseless and inaccurate article posted on Seeking Alpha, a stock market analysis website, which obtains content from its member.
The article was filed anonymously by a person who identifies self as being short on NNVC stock and calls self "Pump Terminator". Clearly the person has vested interests. The article refers to a "Whistleblower Document" and "Smoking Gun" as the source of the information posted in the article. The source document is a serial complaint filed by a single shareholder in the United States District Court of Colorado, a complaint which the same shareholder brought three times in Nevada state court and which was dismissed twice and which has been amended a total of seven times. The Colorado Complaint had been previously dismissed and NanoViricides has moved to dismiss the current complaint again. Noteworthy is that the Plaintiff's attorney has asked the Colorado court to withdraw from the case.
Moreover, as it has done on each filing of the complaint, the Company denies the allegations in the complaint as well as the factual inconsistencies in the article. Each and every alleged covert and self-serving action was undertaken in compliance with all appropriate legal and disclosure requirements. Each transaction was believed to be fair and in the best interests of the Company's shareholders and reported by the Company in its filings with the Securities and Exchange Commission. In addition, the Company is always mindful of its expenditures and believes that the compensation paid to its officers to be reasonable and its costs to have been immensely conservative given the number of drugs the Company has developed in its pipeline.
Dr. Seymour, the founder and Chief Executive Officer of NanoViricides, stated, "We are outraged at this unfounded and intentional attempt at deflating the Company's stock price. We will have a more detailed response, in the near future, once we determine our options, including all legal action to determine the identity of the author, but we want to assure our shareholders and the market that the Company's purpose is the same as always - to eradicate life-threatening viruses and increase shareholder value."
Dr. Diwan, founder, President and Chairman of the Board commented, "This is a shameless attack from someone who neither understands the science nor the development work that has gone into nanoviricides® drug candidates. With very little money we have built a rich pipeline of drug candidates that are now getting closer to the clinic. I have personally taken high risks in making certain that the Company can continue to advance by undertaking the building of a highly specialized cGMP manufacturing facility at a time when NanoViricides did not have sufficient funds to be able to commit to this critical venture. All of the biological testing of our drug candidates is conducted by third parties. We are very happy to note that our drug candidates have been found to be safe and highly effective, and therefore worthy of clinical development."About NanoViricides
FDA refers to US Food and Drug Administration. EMA refers to the European Union’s office of European Medical Agency.