Two more law firms have filed suits:
Class Action Commenced by Kaufman Malchman Kirby & Squire, LLP
NEW YORK--(BUSINESS WIRE)--Nov. 19, 1998--A class action lawsuit has been filed in the United States District Court for the Central District of California on behalf of all purchasers of K-Tel International, Inc ("K-Tel") (NASDAQ:KTEL) securities between October 27, 1998 and November 17, 1998 (the "Class Period").
The Complaint asserts claims under the federal securities laws, including claims for violation of Section 10(b) and 20 (a) of the Securities Exchange Act of 1934 and Rule 10b-5 of the Securities Exchange Commission, by reason of the material misrepresentations and omissions by K-Tel and certain of its officers during the Class Period.
Throughout the first two weeks of November 1998, the price of K-Tel's common stock surged, from $6 7/8 per share to nearly $40 per share, as the company made several announcements concerning its efforts to market music over the Internet. While K-Tel had been informed by the NASDAQ National Stock Market System ("NASDAQ"), in an October 1998 letter, that the company failed to maintain the "minimum tangible net asset requirement for listing" on that exchange, this crucial news was concealed from investors.
When news of the NASDAQ letter (and the company's longstanding knowledge thereof) was made public on November 17, 1998, the price per share of K-Tel common stock plunged from $17 to $10 in just two days.
Plaintiff seeks to recover losses suffered by investors who purchased K-Tel securities during the Class Period, excluding the defendants and their affiliates, and is represented by among other firms, Kaufman Malchman Kirby & Squire, LLP. Kaufman Malchman has specialize in complex litigation, including securities and consumer class actions for decades. Kaufman Malchman has repeatedly demonstrated their expertise in this field, and have been repeatedly 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. The firm's achievements and quality of service have been chronicled in published decisions, and the firm's efforts have been responsible for significant recoveries, or injunctive relief, for its clients and class members.
CONTACT:
Jeffrey H. Squire, Esq.
Ira M. Press, Esq.
Danielle Feman, Paralegal
KAUFMAN MALCHMAN KIRBY & SQUIRE, LLP
919 Third Avenue, 11th Floor
Milberg Weiss Files Class Action Suit Against K-Tel International Inc. and Its Officers and Directors Alleging Misrepresentations
SAN DIEGO--(BUSINESS WIRE)--Nov. 19, 1998--Milberg Weiss today announced that a class action has been commenced in the United States District Court for the Central District of California on behalf of purchasers of K-Tel International Inc. ("K-Tel") (Nasdaq:KTEL) common stock during the period Oct. 27, 1998 to Nov. 17, 1998 (the "Class Period").
The complaint charges K-Tel and certain of its officers and directors with violations of the Securities Exchange Act of 1934. K-Tel markets and distributes entertainment and consumer products. The complaint alleges that throughout the first two weeks of November 1998, the price of K-Tel's common stock surged, from $6-7/8 per share to nearly $40 per share, as the Company made several announcements concerning its efforts to market music over the Internet. While the Company had been informed by the Nasdaq National Market System
("Nasdaq") in an October 1998 letter that the Company failed to maintain the "minimum tangible net asset requirement for listing" on that exchange, this crucial news was concealed from investors. When news of the Nasdaq letter (and the Company's longstanding knowledge thereof) was made public on Nov. 17, 1998, market reaction was swift. The price per share of K-Tel common stock dropped from $17-5/8 per share to less then $10 in just two trading days.
Plaintiff seeks to recover damages on behalf of all purchasers of K-Tel common stock during the Class Period (the "Class"). The plaintiff is represented by two law firms, including Milberg Weiss Bershad Hynes & Lerach LLP, who have expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Milberg Weiss has been actively engaged in commercial litigation, emphasizing securities and antitrust class actions, for more than 30 years. The firm has offices in New York, San Diego, San Francisco, Los Angeles and Boca Raton and is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm to major positions in complex multi-district or consolidated litigations.
Milberg Weiss has taken a lead role in numerous important actions on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total approximately $2 billion. Visit the firm's Web site at milberg.com.
If you are a member of the Class described above, you may, no later than 60 days from today, 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. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel, William Lerach, Alan Schulman or Darren Robbins of Milberg Weiss at 800/449-4900 or via e-mail at wsl@mwbhl.com.
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CONTACT:
Milberg Weiss Bershad Hynes & Lerach LLP
William Lerach, 800/449-4900
wsl@mwbhl.com
New York, New York 10022
(212) 371-6600 or Toll Free (888) 529-4787
dfeman@kmkslaw.com (E-mail address) |
