SEC investigating Biogen Idec for alleged securities law violation

Boston Business Journal

Regulators from the U.S. Securities and Exchange Commission are formally investigating Biogen Idec to determine whether the company violated any laws when it suspended sales of its drug Tysabri earlier this year.

The Cambridge company (Nasdaq: BIIB) cited the investigation in a regulatory filing submitted on Thursday.

Biogen Idec said it received a formal order of investigation from the Boston district office of the SEC on April 21, according to the filing.

The company also said it faces several stockholder and class-action lawsuits relating to the timing of when its multiple sclerosis drug Tysabri was pulled from the market in February.

Reuters reported that Biogen Idec said it received letters on behalf of some shareholders who said some Biogen officers and directors inappropriately sold some of their personal shares while knowing about Tysabri's newly discovered health risks.