Kessler Topaz Meltzer & Check, LLP Announces Investigation on Behalf of Theranos, Inc. Investors

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Jan 06, 2016, 03:40 ET

RADNOR, Pa., Jan. 6, 2016 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP has initiated an investigation of Theranos, Inc. ("Theranos" or the "Company") on behalf of the Company's investors.

For additional information about this investigation, or to request information about this investigation online, please visit www.ktmc.com/theranos-inc.

Theranos investors who wish to discuss this investigation and their legal options are encouraged to contact Kessler Topaz Meltzer & Check, LLP (D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299-7706 or at [email protected].

On October 16, 2015, The Wall Street Journal reported that investors have "poured more than $400 million into Theranos," valuing the Company at $9 billion, but that Theranos "has struggled behind the scenes to turn the excitement over its technology into reality." Further, The Wall Street Journal reported that due to questions raised by the FDA, the Company had "temporarily halted its trademark practice of collecting tiny blood samples from finger pricks."

On December 20, 2015, The Wall Street Journal reported that "U.S. health regulators are investigating complaints about laboratory and research practices" at Theranos made by two former employees. According to the article, the first complaint alleged that Theranos' management "instructed lab employees to keep testing patients with the company's blood-analysis devices despite indications of 'major stability, precision and accuracy' problems with those devices." The second complaint alleged that a study Theranos submitted to the FDA in order to secure the agency's approval for a herpes test "was tainted by breaches in research protocol."

Most recently, on December 27, 2015, The Wall Street Journal reported that, shortly after passing a critical inspection by the Centers for Medicare and Medicaid in which the agency looked at the Company's lab instruments, Theranos raised $633 million from investors. According to Business Insider, that inspection "did not examine the 'revolutionary' technology that aims to run its tests on only a finger-prick's worth of blood. Instead, the inspectors only looked at the tests that were run using traditional lab equipment."

Amid these reports, Walgreens suspended plans to roll out Theranos' testing services in its stores, and Safeway reportedly cancelled an agreement to use Theranos' testing technology after questioning the accuracy of test results.

If you are an investor in Theranos, or have information pertaining to this investigation, you are encouraged to contact Kessler Topaz Meltzer & Check, LLP (D. Seamus Kaskela, Esq. or Adrienne O. Bell, Esq.) at (888) 299 – 7706 or at [email protected]. For additional information about this investigation, or to request information about this investigation online, please visit www.ktmc.com/theranos-inc.

Kessler Topaz Meltzer & Check prosecutes class actions in state and federal courts throughout the country. Kessler Topaz Meltzer & Check is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). For more information about Kessler Topaz Meltzer & Check please visit www.ktmc.com.

CONTACT:
Kessler Topaz Meltzer & Check, LLP
D. Seamus Kaskela, Esq.
Adrienne O. Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
(888) 299 - 7706
(610) 667 - 7706
[email protected]

SOURCE Kessler Topaz Meltzer & Check, LLP