Judge lets Star Scientific Suit in VA go Forward

Posted: Updated: Jan 21, 2014 04:31 PM

RICHMOND, Va. (AP) - A federal judge is letting a lawsuit claiming Star Scientific misled investors move forward. U.S. District Judge John A. Gibney in Richmond denied the company's motion to dismiss the suit Tuesday.

The shareholder suit alleges that the dietary supplement maker trumped up claims for its anti-inflammatory supplement Anatabloc.

At issue are company press releases regarding studies done by Johns Hopkins University researchers when in fact the researchers were paid company consultants.

The judge tentatively set a Sept. 15 trial date and also will address class action certification and other matters before trial.

Authorities continue to investigate a gift scandal involving Gov. Bob McDonnell and former Star Scientific CEO Jonnie Williams. Federal regulators also issued a warning letter to Star Scientific last month saying it is illegally marketing two products.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.


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