Gilead security fraud
The US Supreme Court has refused to throw out a securities fraud suit against Gilead. The suit claims the company inflated its stock price by pushing its HIV remedy Viread for off-label uses.
The ruling denies Gilead's attempts to reverse a lower court's reinstatement of the lawsuit, which claims that Gilead disregarded FDA rules and marketed the drug for off-label AIDS and hepatitis B uses. The resulting sales upsurge unsurprisingly affected the stock price positively by 13.4%. The agency had warned Gilead against misleading promotions of Viread, but shareholders didn't react until a worse financial report appeared two months later.
For its part, Gilead maintains that it's "confident" in its defense of the suit.
Gilead in Ireland is based in Carrigaline, Co Cork.
