|
Search
Search through the thousands of lawsuits, complaints and recalls on our site.
 |
Case ID: 3495 | Stocks | 06/22/2004
Several class actions have been filed against piping systems provider The Shaw Group, Inc., (NYSE: SGR) and certain of its officers and directors by stockholders who purchased the company's common stock between October 19, 2000, and June 10, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The stockholders seek to recover compensatory damages for the loss of value of their stock.
The action alleges that the defendants artificially inflated the company’s reported revenues and earnings by improperly establishing, and then drawing on, reserve accounts established in connection with a series of large acquisitions, including the acquisition of Stone & Webster, Inc., in July 2000 and the acquisition of The IT Group in May 2002. The complaint further alleges that the defendants prematurely recognized revenue in violation of Shaw’s own accounting policies and Generally Accepted Accounting Principles, and failed to disclose the extent to which Shaw was vulnerable to changes in power generation market conditions. On June 10, 2004, Shaw announced that it had been notified by the SEC that the Commission was conducting an inquiry focusing on the company’s accounting for its acquisitions. On this news, Shaw stock, which had traded at a class period high of $62.37, fell 12.4% from a closing price of $12.28 on June 10, 2004, to a closing price of $10.75 on the next trading day, on more than four times normal volume. The action also alleges that company insiders sold Shaw shares at artificially inflated prices for proceeds in excess of $80 million during the class period. During the same time frame, Shaw also sold $490 million convertible zero coupon, liquid yield option notes. If you purchased securities issued by The Shaw Group during the applicable period, you may request appointment by the court as a lead plaintiff if you do so by August 18, 2004. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the court must determine that your claim is typical of the claims of other class members, and that you will adequately represent the class. Under certain circumstances, one or more class members may together serve as lead plaintiffs. Your ability to share in any recovery is not affected by the decision whether or not to serve as a lead plaintiff. You may retain any counsel of your choice to serve as you in this action, or you may choose to do nothing, and remain in the class as a silent member. At Lawcash.com, it is our goal to keep you informed about important legal cases, class actions and settlements. Our lawyers offer free legal evaluations in tort cases, class actions, personal injury, and other lawsuits because we are dedicated to helping you resolve your legal complaints. Other Stocks Cases of Interest Several class actions have been filed against flash memory manufacturer Lexar Media, Inc. (Nasdaq:LEXR) and certain of its officers and directors by stockholders who purchased the company's common stock between July 17, 2003, and April 16, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. Several class actions have been filed against AOL Time Warner, Inc. and certain of its officers and directors by stockholders who purchased Purchase Pro, Inc., (Pink sheets: PROEQ) (now known as Pro-After, Inc.) common stock between March 20, 2000, and May 21, 2001. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The stockholders seek to recover compensatory damages for the loss of value of their stock. Several class actions have been filed against online pharmacy drugstore.com, Inc., (Nasdaq:DSCM) and certain of its officers and directors by stockholders who purchased the company's common stock between January 20, 2004, and June 10, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. A class action has been filed against Pilgrim Baxter & Associates, Ltd. and certain of its affiliated companies on behalf of investors who purchased shares in any PBHG mutual fund between November 13, 1998, and November 13, 2003. The action claims that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The court has dismissed the class-action lawsuit filed against transportation company Interpool, Inc. (Pink:IPLI)) and certain of its officers and directors by stockholders who purchased the company's common stock between March 27, 2001, and December 29, 2003. The actions claimed that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. Several class actions have been filed against electric utility Gexa Corporation (Nasdaq:GEXA) and certain of its officers and directors by stockholders who purchased the company's common stock between August 14, 2003, and March 30, 2004. The actions claim that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities.
|
|
© 2000 - 2008 Copyright. All rights reserved nola3, llc.
