Class Action Lawsuit Filed Against Allarity Therapeutics in New York

On September 16, 2024, Gainey McKenna & Egleston announced the filing of a securities class action lawsuit against Allarity Therapeutics, Inc. in the United States District Court for the Southern District of New York. The lawsuit represents individuals or entities that purchased Allarity securities between May 17, 2022, and July 19, 2024. It seeks to recover damages under federal securities laws due to alleged misleading statements and omissions made by the company regarding its business operations and compliance policies. The complaint specifically alleges that the defendants overstated the regulatory prospects of the Dovitinib new drug application. Furthermore, it claims that Allarity and three former officers engaged in improper conduct related to the Dovitinib NDA and the Dovitinib-DRP premarket approval application. This misconduct purportedly increased the risk of regulatory scrutiny and enforcement actions against the company. Additionally, the lawsuit highlights that Allarity downplayed the likelihood of enforcement actions following the announcement of an investigation into its conduct concerning the Dovitinib NDA. Investors who acquired shares during the specified class period are encouraged to contact the firm before the lead plaintiff motion deadline of November 12, 2024. This legal action underscores the potential repercussions for Allarity Therapeutics, as it faces significant legal, monetary, and reputational harm due to the allegations. The outcome of this lawsuit could have lasting implications for the company and its investors, particularly in light of the ongoing scrutiny from regulatory bodies.