Securities and Exchange Commission v. Biopure Corporation, et al.
Affiliate Laura Stamm and Vice President Ching Watson led the Analysis Group team working with the US Securities and Exchange Commission (SEC) in its complaint against the former CEO of Cambridge, MA-based biotech company Biopure Corp. The SEC alleged that in 2003, Biopure and its senior executives failed to inform investors that the Food and Drug Administration (FDA) had safety concerns about the company's Hemopure synthetic blood product. The company had raised $35 million from investors – raising its stock price – in anticipation of FDA approval of the product, which ultimately was not forthcoming. Analysis Group provided a rebuttal of an event study of the company's stock price movements during the period in question. The CEO agreed to pay a fine to settle the complaint.