Stockholders v OCA, Inc.
Kahn Swick Foti, LLC Files Class Action Suit against OCA, Inc.
Kahn Swick Foti, LLC ("Kahn Swick Foti") today announced that it filed a class action lawsuit in the United States District Court for the Eastern District of Louisiana on behalf of purchasers of OCA, Inc. ("OCA" or "the Company") (NYSE:OCA - News) common stock during the period between May 18, 2004 and June 6, 2005 (the "Class Period").
If you are an investor who has lost over $10,000 on your OCA transactions, and wish to serve as lead plaintiff to guide the litigation, or wish to discuss the litigation, you must contact Lewis S. Kahn of Kahn Swick Foti immediately so that Kahn Swick Foti may inform the Court by the lead plaintiff deadline, August 8, 2005. Mr. Kahn may be reached toll-free 1-866-467-1400, ext. 100, or directly on his cell phone 1-504-301-7900. Beyond the ability to have a significant say in the progress of the litigation, federal law provides that lead plaintiffs may be compensated for their time spent assisting lead counsel in the litigation.
OCA investor class members will likely see multiple press releases from numerous law firms announcing this and/or related class actions. Some of these firms have not filed a lawsuit and are not actively involved in OCA litigation. Kahn Swick Foti has extensive experience in class action litigation (www.kglg.com). Law Firms are the only firm in the United States that has previously been appointed liaison counsel in securities fraud litigation in this same federal court against OCA in 2003. Moreover, Kahn Swick Foti has litigated more securities fraud lawsuits in the United States District Court for the Eastern District of Louisiana over the past 5 years than any other law firm in the United States.
The complaint charges OCA and certain of its officers and directors with violations of the Securities Exchange Act of 1934. Throughout the Class Period, defendants issued numerous positive statements and filed quarterly reports with the Securities and Exchange Commission which described the Company's financial performance. As alleged in the Complaint, these statements were materially false and misleading because they failed to disclose and/or misrepresented the following adverse facts, among others: (a) that defendants had engaged in improper accounting practices. OCA has now admitted that its prior financial reports are materially false and misleading as it announced that it is going to restate its results for the first three quarters of 2004 and potentially prior periods; (b) that certain journal entries in the Company's general ledger were improperly recorded; (c) that certain data provided to the Company's independent accounting firm had been improperly changed; (d) that the Company lacked adequate internal controls and was therefore unable to ascertain its true financial condition; and (e) that as a result of the foregoing, the values of the Company's patient receivables and patient revenue were materially overstated at all relevant times.
