Cellceutix Announces Settlement with Former CEO

BEVERLY, MA–(Marketwire – February 14, 2011) – Cellceutix Corporation (PINKSHEETS: CTIX) announced today that it has reached a settlement agreement on all outstanding claims and issues between the Company and George W. Evans, the Company’s former Chief Executive Officer.

The terms of the agreement provides that the Company shall purchase 4,602,312 common shares held by Mr. Evans and/or Mr. Evans’ sons over a period of three years for a total sum of one million dollars. All options granted to Mr. Evans will be cancelled. The purchased shares will then be retired by the Company.

The Board wishes to thank Mr. Evans for his leadership and contribution to the Company’s development over the past 3 years.

Rescission of authorization to reverse split of common stock

In a separate board action, the board unanimously voted to rescind the authorization to effect a reverse split of its common stock.