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S.E.C. v. JOHNSTON

No. 19-2264.

986 F.3d 63 (2021)

SECURITIES AND EXCHANGE COMMISSION, Plaintiff, Appellee, v. David JOHNSTON, Defendant, Appellant, AVEO Pharmaceuticals, Inc.; Tuan Ha-Ngoc; William Slichenmyer, Defendants.

United States Court of Appeals, First Circuit.

January 22, 2021.

Attorney(s) appearing for the Case

John F. Sylvia , Boston, MA, with whom Andrew N. Nathanson , Matthew D. Levitt , Emily Kanstroom Musgrave , Kerime S. Akoglu , Boston, MA, and Mintz, Levin, Cohn, Ferris, Glovsky and Popeo, P.C., were on brief, for appellant.

John Pagliaro and Martin J. Newhouse , Boston, MA, on brief for New England Legal Foundation, amicus curiae.

Paul G. Alvarez , Senior Counsel, with whom Robert B. Stebbins , General Counsel, John W. Avery , Deputy Solicitor, and Hope Hall Augustini , Senior Litigation Counsel, were on brief, for appellee.

Before Thompson and Kayatta, Circuit Judges.

The Food and Drug Administration (FDA) expressed concerns to AVEO Pharmaceuticals about the results of AVEO's clinical trial for tivozanib, a kidney cancer drug candidate. In light of those concerns, the FDA recommended that AVEO conduct another clinical trial. AVEO opted not to disclose that recommendation to the markets...

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