PFPC Daily - April 15, 2005

GSK investors bring Paxil lawsuit

BBC News, April 14, 2005

GlaxoSmithKline (GSK) is facing a class action lawsuit in the US from
investors who allege it concealed problems with its anti-depressant
drug Paxil.

They allege the firm violated securities laws by issuing "false or
misleading public statements".

It comes after studies found Paxil could increase the risk of
suicidal behaviour in adolescents.

GSK, which is also facing patient lawsuits over Paxil, said the
allegations were "without merit".

A spokesman for GSK, which in the past has defended the way it
presented clinical research on Paxil, added that the company had not
yet been served with a copy of the lawsuit.

US legal firm Schatz & Nobel said the case was filed on behalf of
investors who bought GSK shares traded on the New York Stock Exchange
between 21 February 2001 and 5 August 2004.

It claims Glaxo "improperly concealed deficiencies" with Paxil -
which is also sold under the name Seroxat - in the treatment of
adolescents.

The drug used to be GSK's top-selling product but sales have slowed
with the release of cheaper generic versions of the treatment.

SOURCE:
http://news.bbc.co.uk/2/hi/business/4443697.stm