Lidak, Dorfman lock horns

Katz said the offering Dorfman referred to was a routine update of a shelf registration relating to a private placement completed in February 1992. Under the terms of the placement, the shares and shares underlying the warrants were to be registered within six months of the final close. Katz, who owns 1.4 million of those shares, said he has never sold any of his stock in the company and has no plans to do so. "Every legal remedy will be explored in addition to expecting a formal correction of misstatements," Katz said.

Investors knocked $3.625 off high-flying Lidak Pharmaceuticals last Wednesday, after CNBC reporter Dan Dorfman made negative comments about the company, but recovered to end the week at $6.688, off $1.25 from the previous week's close...