Release The Hounds!
The class window looks a little tight, IMO.
Kirby McInerney & Squire, LLP Commences Class Action Lawsuit Against Crossroads Systems, Inc.
NEW YORK, Jul 28, 2000 (BUSINESS WIRE) --
Please take notice that a class action lawsuit has been commenced in the United States District Court for the Western District of Texas on behalf of all purchasers of Crossroads Systems, Inc. (NASDAQ: CRDS) common stock between July 13, 2000 and July 26, 2000 (the "Class Period").
The complaint alleges that Crossroads and its CEO issued materially false and misleading statements - in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 - regarding Crossroads' operations and financial
results for its fiscal third quarter (ending July 31, 2000). Specifically, the complaint alleges that Crossroads and its CEO knew by July 13, 2000 - but did not disclose to investors until July 27, 2000 - that certain of its products
were experiencing interoperability problems with network software. These problems were so severe that the company, by mid-July, had stopped shipping the products and has not yet resumed shipment of corrected devices. On July 27, 2000, the company disclosed that its revenues would decline from the previous quarter's revenues by a shocking 66% due to the product shipment halt as well as a cancellation of an order at the end of the quarter. When the truth about the company's operations and financial results was finally revealed to investors on July 27, 2000, investors saw their shares lose more than 50% of their value in one day, from $13 7/16 to $6 3/8 per share. Thus, as result of Crossroads'
misrepresentations and omissions, the complaint alleges, the price of Crossroads' stock was artificially inflated during the class period, and investors who bought these securities were damaged thereby.
The lawsuit seeks to recover losses suffered by investors who purchased Crossroads stock during the class period, excluding the defendants and their affiliates. Plaintiff is represented by the law firm of Kirby McInerney & Squire, LLP, which specializes in complex litigation, including securities class actions. Kirby McInerney & Squire has repeatedly demonstrated its expertise in this field, and has been recognized by various courts which have appointed the
firm to major positions in consolidated and multi-district litigation. The firm's efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling hundreds of millions of dollars, and its achievements and
quality of service have been chronicled in published decisions.
If you are a member of the class described above, you may, not later than sixty days from July 28, 2000 move the Court to serve as lead plaintiff of the class, if you so choose. In order to serve as lead plaintiff, however, you must meet
certain legal requirements, as set out pursuant to the Private Securities Litigation Reform Act of 1995. |
