Stull, Stull & Brody Announces Class Action Lawsuit Against Jack Grubman and Salomon Smith Barney, Inc. Relating to WorldCom, Inc.
NEW YORK--(BUSINESS WIRE)--May 29, 2002--Notice is hereby given that a class action lawsuit was filed on May 29, 2002 in the United States District Court for the Southern District of New York, on behalf of purchasers of the common stock of WorldCom, Inc. ("WorldCom" or the "Company") (NASDAQ:WCOM) between May 15, 1999 and April 21, 2002, inclusive (the "Class Period") against defendants Salomon Smith Barney, Inc. ("Salomon") and its star telecommunication research analyst, Jack Grubman ("Grubman"), who are charged with issuing misleading analyst reports about WorldCom.
Specifically, the complaint alleges that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and SEC Rule 10b-5 promulgated thereunder, by the issuance of analyst reports regarding WorldCom which recommended the purchase of WorldCom common stock and which set price targets for WorldCom common stock without any reasonable factual basis. Furthermore, when issuing their WorldCom reports, defendants failed to disclose significant, material conflicts of interest which they had, in light of their use of Grubman's reputation and his WorldCom analyst reports, to obtain investment banking business for Salomon. Furthermore, in issuing their WorldCom reports, in which they were recommending the purchase of WorldCom stock, defendants failed to disclose material, non-public, adverse information which they possessed about WorldCom as well as their true opinion about WorldCom.
If you purchased WorldCom common stock between May 15, 1999 and April 21, 2002, inclusive, you may, no later than July 12, 2002, request the Court appoint you as lead plaintiff.
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 the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Stull, Stull & Brody, or other counsel of your choice, to serve as your counsel in this action.
If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Tzivia Brody, Esq. at Stull, Stull & Brody by calling toll-free 1-800-337-4983, or by e-mail at SSBNY@aol.com, or by fax at 212/490-2022, or by writing to Stull, Stull & Brody, 6 East 45th Street, New York, NY 10017.
CONTACT:
Stull, Stull & Brody
Tzivia Brody, Esq., 1-800-337-4983
212/490-2022 (fax)
SSBNY@aol.com
TICKERS: NASDAQ:WCOM
SOURCE: Stull, Stull & Brody
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05/29/2002 20:01 EASTERN |
