By Lauren Ratcliffe
Published Sept. 26, 2012
Revolutions Medical Corp. is suing several individuals and companies associated with the development and production of their signature product, a retractable safety syringe.
The suit comes days after the U.S. Securities and Exchange Commission filed a complaint in district court accusing the Charleston company and CEO Ron Wheet of stock fraud. The SEC complaint asserted that the company made materially misleading statements in press releases during 2010 and 2011 that led to an inflated stock price.
This package contains a version of the retractable safety syringe developed by Revolutions Medical. (Photo/Provided)
On Sept. 25, Revolutions Medical filed suit against Strategic Product Development, Richard H. Theriault, Vita S. Theriault, Darius R. Theriault, Raminta Theriault, Goddard Technologies Inc. and others.
Revolutions Medical’s lawsuit alleges breach of contract by Strategic Product Development, breach of contract and fraud by Richard Theriault and breach of fiduciary duty.
The suit also said the other defendants aided Richard Theriault and Strategic Product Development with fraud and conspiracy.
“This action is the first of several designed to hold those believed to have harmed Revolutions Medical and its shareholders responsible for their actions,” Wheet said in a statement. “We believe we have enough evidence to prove in court that Rich Theriault and his family, along with his associates and numerous closely-held companies, have defrauded the company by grossly misrepresenting the state of work they were contracted to perform and misappropriating over $1 million of the company's capital, most of which was raised through its equity line financing between August 2010 and February 2011.”
Revolutions Medical is seeking payment equal to direct and special damages incurred as a result of their actions. They are also seeking a punitive judgment against the defendants and the covering of legal fees.
A copy of Revolutions Medical’s complaint can be found here.