BEVERLY, MA–(Marketwired – February 12, 2016) - Cellceutix Corporation (OTC: CTIX) (the “Company”), a clinical stage biopharmaceutical company developing innovative therapies with oncology, dermatology, anti-inflammatory and antibiotic applications, today announces that the Company’s counsel, The Ashcroft Law Firm, on Wednesday, February 10, 2016 submitted to the United States District Court, Southern District of New York, a Memorandum of Law in support of our Motion to Dismiss the Second Amended Complaint filed by The Rosen Law Firm, lead counsel to the only plaintiff in the case, Greg Zagami (as told to the court in December 2015).
The document can be viewed at:
The Request For Judicial Notice can be found at:
As Cellceutix has previously stated, the Company considers this case to be extremely frivolous and believe the facts in the Memorandum of Law prove this contention. Cellceutix wants to better clarify how a motion to dismiss works. At this point in a case, a judge essentially accepts everything in the (Plaintiff’s) complaint as true. While the Company would like to say, “That allegation is factually not true” and provide reasons why, that is not how it’s done in a Motion to Dismiss. As the defendant, Cellceutix is tasked with providing facts that the Company and its officers did not do anything improper with respect to disclosing information, disclaimers, scienter or any other of the allegations. The Company is limited in what exhibits may be used to plead its case, primarily kept to only regulatory filings and other documents the plaintiff referenced.
Cellceutix believes that the Ashcroft Law Firm clearly and effectively conveyed the message in the Memorandum of Law and Motion to Dismiss. Cellceutix’s lead counsel, Mike Sullivan, addressed each allegation, systematically dismantling the complaint with legal precedent as to why the plaintiff’s allegations are insufficient, that Cellceutix and its officers did not make any false or misleading statements and that the allegations do not state a claim.
In short, it is Cellceutix’s contention that there are no legal grounds for the complaint and that The Rosen Law Firm has not provided factual allegations that are sufficient for the complaint to survive dismissal. As Mike Sullivan puts it, they are only trying to “create smoke.”
Additional background material can be viewed at:
Boston Business Journal
“My Visit To Cellceutix, The Biotech That A Short Seller Recently Called A Sham”
The Rosen Law Firm press releases
http://www.businesswire.com/portal/site/home/search/?searchType=all&searchTerm=Rosen%20Law%20Firm&searchPage=1 (It’s necessary to scroll down past all the other releases Rosen files to August 6, 2015 and September 11, 2015 to view press releases regarding Cellceutix).
The true Cellceutix. This week Cellceutix announced two important events. Regular updates will be forthcoming.
Cellceutix Meets With FDA for Phase 2 Clinical Trial of Kevetrin for Ovarian Cancer
Cellceutix to Submit Special Protocol Assessment Request to FDA for Phase 3 Clinical Study of Antibiotic Brilacidin for ABSSSI