(RTTNews) - Shares of Legend Biotech Corp. (LEGN) tanked 15% on Monday morning after the Chinese anti-cancer cell therapy company revealed that the Customs Anti-Smuggling Department of the China inspected offices associated with both its parent majority shareholder, GenScript Biotech Corp., and some of its own subsidiaries in the country.
LEGN is currently trading at $27.34, down $4.66 or 14.55%, on the Nasdaq.
On September 17, Legend Biotech learned that the Customs Anti-Smuggling Department inspected places of business in Nanjing and Zhenjiang, China, of GenScript Biotech and certain of its subsidiaries, including Legend Biotech's location in Nanjing.
The inspections are related to suspected violations of import and export regulations under the laws of the country.
In connection with the investigation, CEO Fangliang Zhang is presently under residential surveillance.
Legend Biotech has appointed Ying Huang as interim Chief Executive Officer, effective immediately. Huang will continue to hold his position of Chief Financial Officer.
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