FDA Controversial Official's Return Sparks Selling Frenzy! Pre-market drop in US Biotech Stocks Sector.

Before the Monday stock market opening, the stock prices of multiple biotechnology companies in the US showed a decline. Earlier reports indicated that Vinay Prasad, a former vaccine regulator at the US Food and Drug Administration (FDA) who was dismissed, will return to the agency. As of the time of writing, Capricor Therapeutics (CAPR.US) fell nearly 8%, Sarepta Therapeutics (SRPT.US) dropped over 4%, and Replimune (REPL.US) decreased by nearly 7%. It is understood that this controversial official had caused a storm by ordering the suspension of the supply of Sarepta Therapeutics' Duchenne muscular dystrophy gene therapy, which led to multiple patient deaths related to the therapy. This decision led to Prasad's sudden resignation in July after strong opposition from conservatives. US Department of Health and Human Services spokesperson Andrew Nixon stated, "At the request of the FDA, Dr. Vinay Prasad will once again take charge of the Center for Biologics Evaluation and Research." As an oncologist, Prasad has publicly questioned the US COVID-19 vaccine and mask mandates multiple times. In May of this year, FDA Director Marty Makary appointed him as the director of the center. During his tenure, the FDA significantly strengthened its review of the treatment plan for Duchenne muscular dystrophy due to the decision to halt the supply of Sarepta Therapeutics' gene therapy. Furthermore, Prasad's decision to overturn FDA staff recommendations and limit the use of Moderna (MRNA.US) and Novavax, Inc. (NVAX.US) COVID-19 vaccines has sparked strong dissatisfaction among public health experts. Although Prasad is set to lead the FDA's Center for Biologics Evaluation and Research again, it remains unclear whether he will also resume his previous roles as Chief Scientific Officer and Chief Medical Officer.