DALLAS, TX -- (Marketwire) -- 07/29/09 -- Kendall Law Group has filed a lawsuit against Caraco Pharmaceutical Laboratories (AMEX: CPD) on behalf of investors who purchased CPD stock that was artificially inflated between May 29, 2008 and June 25, 2009.

Any shareholder, who purchased CPD stock during the above time period, may move the Court to serve as lead plaintiff in this class action. If you wish to serve as lead plaintiff, you must move the Court for appointment by September 15, 2009. A lead plaintiff is a class member who acts on behalf of other class members in directing the litigation. Although your ability to share in any recovery is not affected by the decision whether or not to seek appointment as a lead plaintiff, lead plaintiffs make important decisions which could affect the overall recovery for class members.

According to the complaint, filed in the Eastern District of Michigan, defendants failed to disclose the following: (i) Caraco failed to meet the United States Food and Drug Administration's ("FDA") current Good Manufacturing Practice ("cGMP") requirements; (ii) Caraco failed to take corrective measures in order to have its manufacturing facilities comply with the FDA's cGMP requirements; (iii) Caraco had failed to remedy repeat violations of FDA regulations previously observed and documented by the FDA; (iv) that the foregoing significantly jeopardized the Company's ability to gain FDA approval of pending new drug applications; and (v) as a result of the above, Caraco would have to recall certain products.

On June 25, 2009, the FDA announced that U.S. Marshals had seized drug products from the Company's facilities. According to the FDA, this action followed Caraco's continued failure to meet the FDA's cGMP requirements. On this news, shares of Caraco fell approximately 43% to $2.39 per share.

Although every case is different, Kendall Law Group has participated in the recovery of over $800 million for defrauded shareholders. Led by a former federal judge and U.S. Attorney, the firm has the credentials to pursue any type of complex securities litigation in the nation. If you wish to learn more about your rights as a Caraco shareholder or serving as a lead plaintiff, contact attorney Hamilton Lindley at 877-744-3728 or hlindley@kendalllawgroup.com.

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