Dec. 4, 2021

Has Pfizer Violated Securities Law?

A fascinating story unfolded this week, involving Pfizer, one of the principal makers of the Covid-19 Vaccine, the Food and Drug Administration, and a citizens watchdog group, named “Public Health and Medical Professionals For Transparency Documents.”

The story begins when the watchdog group, sues the FDA under the Freedom of Information Act, to obtain the documents the FDA used in first granting Pfizer's Emergency Use Authorization, and then on August 23rd of this year in granting “Comirnaty” full approval for individuals 16 years and older.

In reading the court documents, you will see that this group is just what their name says: Public Health and Medical Professionals” essentially medical doctors and researchers, who are trying to see how it was that the FDA approved the most impactful medical treatment of our lifetime. A treatment that literally touches the lives of every American. And to this day has forced major changes in our day-to-day behavior.

The group is responding to the controversy which surrounds the FDA approval and wants to get to the bottom of exactly how the approval was granted.

So they asked the court to make the documents submitted by Pfizer to the FDA public. And to make a long story short, the Court granted their request. What we're referencing here is the first of what will become many many supporting documents.

This first report is entitled: “Cumulative Analysis of Post-Authorization Adverse Event Reports, PF-07302048 (BNT162B2) Received Through 28-FEB-2021."

So, and this is very important, what has occurred is that the FDA has released a Pfizer Report, used for their Vaccine's approval. Pfizer did not release this report directly, and that's critical in our later analysis.

In reading the report, the stand-out number appears on page 7. It is here that Pfizer reports that there had been 1,223 deaths directly attributable to the vaccine.

We'll use that gruesome statistic as our benchmark throughout this discussion: 1,223. But there were references to other adverse effects, and all of them were also elevated from what was disclosed to the public at that time.

So, 1,223 deaths by the Pfizer vaccine through the end of February. Now the CDC's system for reporting adverse vaccine effects, called VAERS, the Vaccine Adverse Events Reporting System, reported only

628 deaths through the end of February. And that included all three vaccines, Pfizer, JNJ, and Moderna. So, as many suspected, VAERS was way off and conceivably may have misstated the actual number of vaccine deaths by a factor of 600%.

So at this point, I'd like to leave the good Doctors at Public Health and Medical Professionals. And thank them for their incredible service in providing the information needed for everyone in this county to make a truly informed decision on the vaccine. For us, that will be a discussion of another day.

For today, I want to focus, on Pfizer's disclosure problem.

By now, we've all heard that Pfizer, as a vaccine maker, does not face any liability. This is because of a law passed back in 1986.

Fine, I accept that.

But remember Pfizer is not just a vaccine maker. It is also a public traded company. Its stock trades on the New York Stock exchange, under the symbol PFE.

AS such, Pfizer is subject to all of the laws and regulations for publicly traded companies, specifically those provisions which come under the Securities Acts of 1933 and 1934.

Now I'm not a securities lawyer, but I've been in the industry for a very long time. And my understanding of these provisions is that it's absolutely imperative that a public company disclose all of the material facts about its current operations.

Generally, this is done by quarterly and annual reports to shareholders. These are the “earnings reports” that you may be familiar with.

Each quarter the management of a public company will announce, generally through a conference call, along with supporting documents, exactly how the company is performing. All the relevant events which have occurred over the past 12 weeks or so.

For Pfizer, the last year has seen 3 quarterly reports produced and an Annual report. I've been through all four of those documents and can find no references to the 1,223 deaths attributable to the Pfizer vaccine as of 28 February 2021.

To me, those deaths are a material fact, perhaps the most important material fact, on the operations of Pfizer during that period. It goes to the heart of the efficacy and safety of the vaccine. A vital point for first the approval, and then continued use of the vaccine.

At this point, some may drift off into a discussion of whether 1,223 deaths is an acceptable price for providing the vaccine to the populace, and potentially saving other lives.

That is not my point. Don't drift here.

The point of this discussion is DISCLOSURE. A fundamental responsibility of every publicly traded company in America. A requirement of U.S. Securities Law.

Has Pfizer failed to disclose a critical material fact of their operation through at least February 28?

Few would argue against the proposition that by omitting this negative event, Pfizer helped boost their stock's price. Fewer deaths reported, at least implies, that the Pfizer vaccine is safer than was actually the case.

A quick look at Pfizer's Stock Chart shows that this is a company that has benefited from very positive price action in the market.

The fundamental question is whether Pfizer disclosed all the relevant facts in reporting its corporate results.

While Pfizer may face no liability for its performance as a vaccine maker.

But in my opinion, it could face substantial liability for its performance as a publicly-traded company.