Attorneys Win $178 Million For Shareholders In Securities Fraud Case - One Of The Largest Verdicts Ever Awarded In Virginia's History.

Business Editors/Legal Writers

ALEXANDRIA, Va.--(BUSINESS WIRE)--Aug. 16, 2002

Collins & Watson, Clifford, Lyons & Garde, DiMuro, Ginsberg & Mook and

Hardy & Johns Secure Judgment for Plaintiffs

A landmark judgment against an Internet company was rendered late yesterday, August 15th in Alexandria, Virginia's U.S. District Court when a jury held corporate officers and entities accountable for fraud and misrepresentation by awarding over $178 million in compensatory and punitive damages to shareholders.

The judgment against defendants - TutorNet.com Group, Inc. (TTNP); TutorNet.com, Inc; Euburn Forde, Founder, Chairman and former Chief Executive Officer; and Rajiv Dalal, Co-Founder and at one time Chief Financial Officer - is one of the largest civil awards ever made by a jury in the State of Virginia. Primus Telecommunications (PRTL), Primus subsidiary Tutornet.com Services, Inc., CEO Paul Singh and CFO Neil Hazard were at one time defendants in the case; however, Judge Leonie Brinkema dismissed all Primus-related defendants midway through the two-week trial. Attorneys representing the shareholders intend to appeal that decision, and if successful, will seek to hold the Primus defendants responsible for the award of damages.

Evidence presented in the case centered on a series of gross material misrepresentations made to shareholders that served as the basis for inducing investment, and the subsequent fact that certain investors including the plaintiffs who had invested in the private company, Tutornet.com did not receive shares in the Company when it went public and became Tutornet.com Group. Only Forde, Dalal and their colleagues received shares in the public company. Among the many misrepresentations, TutorNet defendants claimed to have revenue-generating contracts with marquis Companies such as America Online (AOL), Prentiss Hall, ToysRUs and others. In some cases, no contract ever existed. In others, the contract was a "pay to play" advertising deal with no guaranteed revenue resulting. Nevertheless, TutorNet defendants falsely represented actual and projected revenue from these relationships whether they existed or not.

Primus Telecommunications and the Primus-related defendants were originally part of the case because of an unusual relationship with TutorNet. Primus Telecommunications had signed a term sheet with Tutornet.com to acquire 19.9% of the company in return for a $400,000 investment with the rights to acquire up to 51% of the company when it went public. According to allegations raised by shareholders, Primus in effect controlled TutorNet through Primus' wholly-owned subsidiary, TutorNet.com Services Inc., through which, they channeled their investment. Services administered the payroll and health benefits of the persons who were selling TutorNet's shares and Primus provided other infrastructure support to TutorNet.com. Primus, moreover, signed a letter to AOL representing that it had "partnered" with TutorNet and was providing it with financial and communications support as it embarked on its initial investment strategy. Documents filed with governmental entities list Forde and Dalal as employees and officers of TutorNet Services, the wholly-owned subsidiary of Primus Telecommunications. As stated previously, Primus defendants were dismissed from the case midway through trial, and plaintiff's attorneys intend to appeal the decision.

Plaintiffs awarded damages from TutorNet defendants are thirteen shareholders in TutorNet.com, Inc., a private company that went public via a reverse merger in 2000 and began operating as a newly formed company, TutorNet.com Group, Inc. When the company went public, the shares belonging to the thirteen plaintiffs were not transferred to stock in the public company. At its zenith, TutorNet shares were trading at almost twenty dollars per share. Some of the thirteen plaintiffs originally paid anywhere from one dollar to eleven dollars per share. Others were granted shares in consideration for consulting services performed for the Company.

There are one hundred thirty additional shareholders who are plaintiffs in the case and who like the thirteen in this case, never received their shares of Group to trade on the public market. These shareholders claims will proceed, and if juries in the future follow this jury's example, the total award at a future date could potentially exceed $1.7 billion.

Attorney's for shareholder plaintiffs issued the following statement:

"This judgment underscores the fact that Corporate America must do more than create the appearance of shareholder value and tell the truth to investors without gilding the lily. This jury has indicated that corporate integrity and accountability are paramount concerns. Start-up companies and large companies alike need experienced managers and trusted advisors including board members, lawyers and accountants to safeguard their most prized asset - integrity."

Attorneys responsible for winning this extraordinary judgment in favor of their clients are: Wayne D. Collins of Collins & Watson, Houston, TX; John Clifford of Clifford, Lyons & Garde, Washington, D.C.; Ben DiMuro of DiMuro, Ginsberg & Mook, Alexandria, VA; and G. P. Hardy III of Hardy & Johns, Houston, TX.