The US Securities and Exchange Commission charged Elizabeth Dragon, the former senior vice president of research and development for Sequenom, with making false statements to investors about the company's prenatal Down syndrome test, according to our sister publication GenomeWeb Daily News. The SEC alleges that Dragon lied during three public events, saying in the filing that she "falsely stat[ed] that the test could predict with almost 100 percent accuracy whether a fetus had Down syndrome." Dragon was fired last fall.
"I'm glad to see this prosecution happening. We live by accurate data, and seeing it sawed off and spray-painted like this makes me furious," writes Derek Lowe at In the Pipeline.
Dragon has agreed to "a judgment permanently enjoining her from future violations of certain SEC rules and barring her from serving as an officer or director of a public company," adds GenomeWeb Daily News. She will also have to pay a fine.
In addition, San Diego's North County Times reports that Dragon pled guilty to one count of conspiracy to defraud shareholders, an offense that can carry a 25-year prison sentence and fines.