NEW YORK: ImClone Systems, the biotechnology company at the center of one of the biggest insider-trading scandals in recent years, has retained New York-based PR firm Abernathy MacGregor.
The firm would not comment on the account.
It has emerged that ImClone hired Abernathy as early as May after allegations of insider trading by company founder and CEO Samuel Waksal forced the top executive to resign. In mid-October, Waksal pleaded guilty to six charges related to insider trading.
Waksal is accused of tipping off family members and friends to sell their ImClone stock days before an unfavorable Food and Drug Administration ruling caused ImClone's stock price to plummet.
The scandal has also engulfed Waksal's friend, domestic-living queen Martha Stewart, who liquidated her ImClone holdings a day before the FDA ruling.
In July, it was widely reported that Stewart's company, Martha Stewart Living Omnimedia, retained PR firm The Brunswick Group to handle the crisis surrounding the scandal.