Navigation Links
Hagens Berman Sobol Shapiro: Lawsuit Filed Against CellCyte Genetics Corporation

Hagens Berman suit claims company insiders knowingly misrepresented the

company to investors

SEATTLE, Jan. 18 /PRNewswire/ -- Hagens Berman Sobol Shapiro filed a proposed class-action lawsuit on behalf of CellCyte Genetics Corporation (OTC Bulletin Board: CCYG) shareholders alleging company executives knowingly misrepresented the company and chief executive officer Gary A. Reys' background, causing company stocks to be traded at artificially inflated prices.

The lawsuit filed in U.S. District Court in Seattle claims defendants violated sections of The Exchange Act of 1934 during the class period of April 6, 2007 until and including January 9, 2008.

The complaint alleges that Reys' background was called into question after published news reports called out alleged discrepancies relating to Reys' finance degree from the University of Washington, a CPA designation, ties to the Washington Society of Certified Public Accountants and a strong track record within the pharmaceutical industry.

According to the complaint, CellCyte not only made these statements to potential investors but also to the Securities and Exchange Commission (SEC). These published statements had the cause and effect of creating an unrealistically positive assessment of CellCyte's prospects for investors.

According to the complaint, when CellCyte began looking for investors it sent unsolicited faxes to investors in Germany. The fax contained a story about CellCyte and a handwritten note announcing that "This is the stock that's about to take off!"

Additional claims made to both U.S. and German investors included "CellCyte shares could be the chance of your lifetime to turn $10,000 into $4 million, maybe even $15 million!" In addition to money making promises Reys' background was also touted in promotional materials, the complaint states.

Suspicion of the company came to light in early December 2007 when The Seattle Times published an article about the company's skyrocketing stock value. According to The Seattle Times, "a wave of glossy brochures and spam faxes, touting CellCyte with lofty claims, has helped propel the company's total market value to more than $440 million."

The complaint claims soon after Reys' credibility came into question, CellCyte took some of his biography information off its Web site. Within days of the removal, company stock fell 55 percent to $2.20 a share. CellCyte traded at a high of $7.02 per share just days before.

The Complaint alleges that the Defendants violated Section 10(b) of the Securities Exchange Act of 1934 (the "Exchange Act") and Rule 10b-5 promulgated there under against all defendants and that Defendants Gary A. Reys, Ronald W. Berninger, Robert H. Harris, G. Brent Pierce and James L. Rapholz violated Section 20(a) of the Exchange Act.

If you invested in CellCyte during the outlined class period you may be eligible to join this suit and move to be a lead plaintiff. The deadline for moving is March 14, 2008. You can contact plaintiff's counsel, Reed Kathrein at 510-725-3000, or via e-mail at More information on this lawsuit is available at

About Hagens Berman Sobol Shapiro

Hagens Berman Sobol Shapiro is based in Seattle with offices in Chicago, Cambridge, Los Angeles, Phoenix and San Francisco. Since 1993, it has developed a nationally recognized practice in class-action and complex litigation. Among recent successes, HBSS has negotiated a $300 million settlement in the DRAM memory antitrust litigation, one of the largest anti-trust settlements in history; a $340 million recovery on behalf of Enron employees; a $150 million settlement involving charges of illegally inflated charges for the drug Lupron, and served as co-counsel on the Visa/Mastercard litigation which resulted in a $3 billion settlement, the largest anti-trust settlement to date. HBSS served as counsel in a $850 million Washington Public Power Supply settlement and represented Washington and 12 other states against the tobacco industry that resulted in the largest settlement in history. For a complete listing of HBSS cases, visit


Reed Kathrein (510) 725-3000 Mark Firmani (206) 443-9357

Hagens Berman Sobol Shapiro Firmani + Associates Inc.

SOURCE Hagens Berman Sobol Shapiro
Copyright©2008 PR Newswire.
All rights reserved

Related biology technology :

1. Hagens Berman Sobol Shapiro Investigating CellCyte
2. Hagens Berman Sobol Shapiro Announces Proposed Class-Action Lawsuit Against CellCyte
3. N-Viro International Corporation Announces Dismissal of Lawsuit Against It
4. Lonza Withdraws Majority of Claims in Patent Lawsuit Against Northwest Biotherapeutics
5. CryoCor Files Patent Infringement Lawsuits Against CryoCath
6. Delaware Court Denies Motion by SIGA Technologies Seeking to Dismiss PharmAthenes Legal Action in Breach of Contract Lawsuit Against SIGA
7. Shareholder Class Action Filed Against GPC Biotech AG by the Law Firm of Schiffrin Barroway Topaz & Kessler, LLP
8. Shareholder Class Action Filed Against LCA-Vision, Inc. by the Law Firm of Schiffrin Barroway Topaz & Kessler, LLP
9. Shareholder Class Action Filed Against Sanofi-Aventis by the Law Firm of Schiffrin Barroway Topaz & Kessler, LLP
10. Schering-Plough Announces Sugammadex New Drug Application Filed in Japan
11. FDA Approves ACAM2000(TM) Vaccine for Protection Against Smallpox
Post Your Comments:
(Date:11/27/2015)... November 27, 2015 ... popularity of companion diagnostics is one of ... market with pharmaceutical companies and diagnostic manufacturers ... tests. . --> ... report on global cancer biomarkers market spread ...
(Date:11/25/2015)... India , November 26, 2015 ... The Global Biobanking Market 2016 - 2020 report ... by maintaining integrity and quality in long-term samples, ... enabling long-term cost-effectiveness. Automation minimizes manual errors such ... the technical efficiency. Further, it plays a vital ...
(Date:11/25/2015)... November 25, 2015 Studies reveal ... human plaque and pave the way for more effective treatment ... cats     --> ... diagnosed health problems in cats, yet relatively little was understood ... collaborative studies have been conducted by researchers from the WALTHAM ...
(Date:11/25/2015)... QUEBEC CITY , Nov. 25, 2015 /PRNewswire/ ... "Company"), affirms that its business and prospects remain ... , Zoptrex™ (zoptarelin doxorubicin) recently received DSMB ... program to completion following review of the final ... met Phase 2 Primary Endpoint in men with ...
Breaking Biology Technology:
(Date:11/26/2015)... 26, 2015 Research and Markets ( ... Fingerprint Sensors - Technology and Patent Infringement Risk Analysis" ... --> --> Fingerprint sensors using capacitive ... The fingerprint sensor vendor Idex forecasts an increase of ... mobile devices and of the fingerprint sensor market between ...
(Date:11/20/2015)... November 20, 2015 NXTD ) ... on the growing mobile commerce market and creator of ... Pereira , was recently interviewed on The RedChip ... on this weekend on Bloomberg Europe , Bloomberg ... --> NXTD ) ("NXT-ID" or the "Company"), ...
(Date:11/19/2015)... , Nov. 19, 2015  Based on its ... & Sullivan recognizes BIO-key with the 2015 Global Frost ... year, Frost & Sullivan presents this award to the ... catering to the needs of the market it serves. ... line meets and expands on customer base demands, the ...
Breaking Biology News(10 mins):