"Cancer Drug CEO Sold $34M in Stock Before Admitting the Product Was a Flop"

"Mitchell Gold, the CEO of cancer drugmaker Dendreon (DNDN), sold $34 million of the company's stock prior to announcing in August that he would not be able to meet his revenue guidance for the year, a move that cut the value of DNDN by 67 percent, according to a lawsuit."

http://www.cbsnews.com/news/cancer-drug-ceo-sold-34m-in-stock-before-admitting-the-product-was-a-flop/

 

Nice, moron. You posted this exact same crap on 12/10/14, and nobody gave a crap, so you go and do it again. Swell. If you think Mitch was a crook, take a look at the current leadership team of crooks, and post something about them! This garbage is OLD news...

 

Well, then. Tell us how much of a hit you took when DNDN stock collapsed? I bet it was a lot. No one shows the sheer immature sore loser so much as someone who had invested a lot of money in the company only to see it implode in such a dramatic fashion.

Mitch ( and his 38 million USD he gained via insider trading) was just one in a long line of corporate cluster f*cks. And now Dendreon has a super attenuated CEO who was probably around for the discovery of fire. He invests heavily in Depends.

Take your irrational paranoia to the Yahoo boards. No one here gives a f*ck

 

BTW how do you know that this poster posted the same crap in 2014? Is your life really so empty? Who tracks CP or Yahoo posts for over a year? Haldol stat.

 

Indeed it is. Fact is, MG may or may not have known the drug was a flop, but he did dump $34M in stock and he will very likely get to keep every penny. Those who believe the BS that comes out of the mouths of public company executives without considering third party opinion to the contrary (of which there was plenty at the time) have no excuse when they lose their investment, especially those that took out a second mortgage to load the boat on a "sure thing".

Grow up, admit that you were wrong, take your loss like an adult, and move on. Remaining pissed just diverts your attention from finding other profit opportunities, of which there are many to be found.

 

It is against the law to make projections that have no basis in reality. It is against the law to not warn the public about this arrangement wherby doctors had to lay out 93k per patient before being reimbursed. How many patients could possibly be treated with that kind of arrangement? The public was not told of that arrangement until August 2011. The public was not told of the problems this arrangement was causing long before August 2011 until August 2011. This was long after Gold and Hamm and others sold millions during 2011. Chances are slim to none Gold keeps his ill gotten gains.

 

No, you can't make up projections that are total fantasy but the "Safe Harbor" rules cover all but the most egregious sins. Since a lot of analysts were cheering Dendreon on in those days and his rationale for making the forecasts is based at least in part on third party data, he is clearly in the safe harbor.

As for not warning the public about the sales risks, you better go back and read the "Competition" and "Risks" section of the first 10-K issued after Provenge was approved. It is not the responsibility of management to call out each and every detail of things that might go wrong, and the risks associated with unfavorable reimbursement were called out explicitly.

What is unknown, and unknowable by outsiders, is when did MG know the sales traction wasn't happening? If he knew or had strong reasons to expect that the guidance would not materialize before he sold the shares, AND the sales were not part of a Rule 10(b)(5) sale, then that is actionable. However, most CEOs make all trades under Rule 10(b)(5) because it has enough exemptions to drive a truck through. If he did he right filings, he largely covered his butt.

 

Safe Harbor only applies to civil litigation. Does not apply for SEC and DOJ. You can not break laws period. There is no protection. Risk factors must be specific. You are clueless. Read the law before you post.

 

Lol, that must be the Gold camp in post 7. There are many witnesses to what Gold knew. There are also minutes. He should prepare to be poor and be glad if he doesn't end up in prison...

 

Richard Hamm's sales were not pursuant to a 10b5-1 plan.

 

MG is a monster. He will rot in in hell alongside AH. They both destroyed lives.