CEO of ARCA Biopharma Admits To Deceiving Investors - Ruth’s Advice Ignored
Interviewer: Good day, Mr. Zhang, thank you for being here to answer some questions about this disclosure to the SEC. What can you tell us about the financial results of ARCA Biopharma that you recently reported?
CEO: We reported a few key points in the disclosure: cash and cash equivalents totaled $42.4 million as of December 31, 2022; research and development (R&D) expenses totaled $4.7 million during the year ended December 31, 2022; and general and administrative (G&A) expenses totaled $5.8 million for the year ended December 31, 2022.
Interviewer: You said in the disclosure that the Company has not set a timetable for the conclusion of the strategic review process, and that there is no assurance that it will result in any kind of transaction. Is that true, or did you mislead investors about that?
CEO: I admit to lying about that; I wanted the stock to remain high, so I said that to keep investors enticed.
Interviewer: You also admit to lying about the cash and cash equivalents, claiming them to be $42.4 million when in actuality, the figure was much higher?
CEO: I admit to that, too; I had a vested interest in keeping the stock valuable, so I decided to just report the lowest figure possible, regardless of its accuracy.
Interviewer: Babe Ruth once said, “One thing I always found remarkable was a person’s ability to adjust.” Is there anything you can do to redeem yourself and begin to adjust in a positive manner?
CEO: I don’t have any interest in the advice of a has-been baseball player. I don’t need guidance, I just need to make sure that stock remains valuable.
Original Release: https://www.globenewswire.com/news-release/2023/02/24/2615557/0/en/ARCA-biopharma-Announces-2022-Financial-Results-and-Provides-Corporate-Update.html